Employment hotspots rocket £65,000
Prices in those 20 areas rocketed by 25%, while in contrast in the 20 areas with the highest unemployment prices have inflated 3% (£4,100).
Andy Hulme, Lloyds Bank mortgages director, said: “There has been a very clear relationship between conditions in the local jobs market and house price performance during the period since the housing market downturn between 2007 and 2009.
“Those areas with low unemployment and high levels of employment have tended to record above average house price growth. Areas with high unemployment and relatively low employment have, on the other hand, typically underperformed.
“The past few years have underlined the importance of local economic health in determining house price behaviour. Other factors, however, are also key drivers of house price trends including the strength, or otherwise, of housing supply.”
For the UK as a whole prices have risen by 17% since 2009, while excluding London this stands at 11%.
London is something of an anomaly, as prices in the capital have seen rapid increases despite none of the 20 low unemployment hotspots being in the capital.
Hull and Middlesbrough – the two areas with the highest unemployment – have seen house prices increase by just 2% and 1% respectively in the past six years.