Forget London and the Cotswolds – the UK's most dramatic property price rises have been recorded in a stunning coastal city in the South West. According to exclusive new analysis, Plymouth in Devon has been revealed as the nation's top housing hotspot for 2025.
A Coastal City Outperforms the Capital
Fresh research from Lloyds Banking Group, based on its mortgage data, shows that the port city of Plymouth experienced a remarkable 12.6% increase in property values over a single year. This surge far outstripped growth in the capital and other traditional property magnets.
The analysis, which only included locations where Lloyds made at least 150 mortgage offers (excluding buy-to-let and shared ownership), tracked prices from October 2024 to October 2025. In that period, the average house price in Plymouth jumped from £247,579 to £278,808.
This impressive growth placed Plymouth firmly at the top of the list, with other significant gains seen in Stafford (12%) and Wigan (10.5%). Other areas making the top ten included Wakefield, Mansfield, Woking, Liverpool, Rugby, Falkirk, and Hull.
The National Picture: Winners and Losers
While Plymouth celebrated its boom, the research highlighted a stark contrast in other parts of the country. Crawley in the South East suffered the sharpest decline, with home values falling by 8.9%. High Wycombe saw a 7.4% drop, followed by Chester (-6.4%) and Cardiff (-5.2%).
Perhaps most notably, average property values in London dipped slightly by 0.1%, underscoring a significant shift in the UK's property landscape where regional cities are now leading the charge.
Amanda Bryden, Head of Mortgages at Lloyds, commented on the findings, stating: 'Our customers' dream homes are found in pockets around the UK... While property prices play a role, choosing where to live is also about finding a place that feels right – a community you connect with, a commute that works for you, and a lifestyle that fits.'
Why Plymouth is Capturing Buyers' Hearts
So, what is driving Plymouth's popularity? The city, with a population of around 266,038, offers a compelling blend of history, scenery, and affordability. Its historic Barbican district, with cobbled streets and independent shops, and the iconic Mayflower Steps are major draws.
Residents and visitors praise its 'breathtaking' scenery, 'dreamy' atmosphere, and sense of community. Online forums frequently highlight its safety, personality, and the sense of adventure it provides. Attractions like the National Marine Aquarium, Plymouth Gin Distillery, and the Royal William Yard add to its vibrant lifestyle appeal.
Bryden added crucial advice for prospective buyers: 'If you've got your heart set on a particular location, it's worth taking time out to do some research and see what's happening with prices there, as swings in value at a local level can make a big difference... If you're open to exploring, you might find places where your money goes further. Northern regions and Scotland are still generally more affordable than the south of England.'
The data clearly indicates that the UK property market is undergoing a significant regional rebalancing, with coastal cities like Plymouth offering both a high quality of life and strong investment potential for the year ahead.
