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£57 billion added to value of British housing market

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£57 billion added to value of British housing market

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Published by Max Salsbury for 24dash.com in Housing and also in Communities, Finance

UK housing market 'will survive credit crunch' UK housing market 'will survive credit crunch'

The combined value of Britain's homes rose by £57 billion last year - and now stands at a total of £5.96 trillion.

The increase reversed 2011's downturn, which saw £124 billion drop of the market's total value.

However, 2012's 0.97% increase wasn't enough to bring the market back up to 2007's heights, with current levels still down 10% on that year's peak performance.

Unsurprisingly, London house price rises accounted for the bulk of the increase, where combined stocks went up by £42.4 billion, or two thirds of the national total.

According to property website Zoopla.co.uk's research, England was entirely responsible for the increase. The market in England actually rose by £64.8 billion (1.2%) but drops of £1.2 billion (0.3%) in Scotland and £6.6 billion (-3.1%) in Wales knocked value of the nationwide total.

Two thirds of the biggest 250 urban areas in Britain saw increases in total property values in 2012. As well as London, Bristol's stock rose by £2.3 billion and, despite the crash across Scotland as a whole, Edinburgh saw £922 million increase in house prices.

Meanwhile, Sheffield (down £286 million), Doncaster (down £160 million) and Stoke-on-Trent (down £149 million) were the country's biggest losers over the year.

Zoopla.co.uk reports that despite the market being reasonably flat over the last three years, Britain's total housing stock worth has risen by £1.9 trillion over the last decade.

Lawrence Hall of Zoopla.co.uk, said: "These figures highlight the varying performance of the property market in different regions around the UK last year. While some areas saw decent growth in property values, others are still facing an uphill struggle."

"Even with the worst economic downturn in living memory over the past few years, the value of Britain’s housing stock has grown a staggering amount over the last ten years. It’s hard to see if we will experience the same levels of year-on-year growth witnessed in the early noughties, but with overall values beginning to creep back up, homeowners should be feeling a little more confident."

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