Two Kent seaside towns have been named at top of a list of property hotspots where house price rises are set to outstrip the national average.

It comes in the latest report by the Property Market-Index which tracks the homebuyers' and property investors' market.

In its UK Property Hotspots 2023-2025 report it names Margate top - with its Thanet neighbour Ramsgate a close second.

They beat off the likes of Liverpool, Bolton, Reading, York and Aberdeen to be the places with the highest expected house price growth.

The report says it expects Margate house prices to shoot up 19% over the next two years - with Ramsgate homes up 16%.

Both have seen increases of more than 25% over the last three years.

Meanwhile, the average UK average house price is set to rise, predicts the report, by just 8.8% by the end of 2025.

Amanda Collison, spokesperson for Property-Market-Index, said: “The number one in our report is Margate, a status upheld by recent media reports eulogising the Kent seaside town’s burgeoning arts and creative scene, kick-started by the 2011 opening of the Turner Contemporary gallery but now powered by modern artists such as Tracey Emin, who grew up in Margate and is now living there and investing in regeneration along with many others.

“Near neighbour Ramsgate is number two, being reinvigorated by a mixture of the prestigious £60 million Royal Sands beachside development, its unique royal harbour status, and the Thanet Parkway HS1 station on the outskirts of Ramsgate opening this summer, bringing train times into London down to less than an hour.

“All this has led to Ramsgate and Margate being ‘discovered’ by buyers keen to enjoy the sandy coastline outlook and café culture living. Another bonus is the recent decision to re-open and invest in Manston Airport.

"Total regeneration investment locally is now running at over half a billion.”

The UK Property Hotspots 2023-2025 report used key criteria in reaching its judgment, including heritage, culture, infrastructure – such as transport and schools – investment in regeneration, and value for money/investment potential."

The full top 10 (house price increase by 2025 in brackets) is:

1. Margate (19%)

2. Ramsgate (16%)

3. Bolton (15%)

4. Liverpool (13%)

5. Reading (12%)

6. Derby (11%)

7. York (11%)

8. Rotherhithe (10%)

9. Aberdeen (9%)

10. Burton (9%)

Looking at the UK property market generally, the Property Market-Index report concluded it remained resilient, with investors bullish about prospects. It found values could fall initially by up to 5% this year before recovering by 8.8%, on average, over the next three years.