The total value of the UK’s housing stock has hit a record high of £7.56trn despite the pandemic and prevailing economic uncertainty, according to Savills.
The total UK housing value, which rose £380bn compared to 2019, now stands at four times the value of all companies in the FTSE 100.
The value of housing in the North of England saw its strongest growth since 2005 with a £59bn gain, while London and SE account for around £1.8trn and £1.4trn respectively, an increase of 23% and 18% of the total.
To find out more about how we can assist you with your Mortgage requirements, please click here to get in touch
The value of mortgaged owner occupied homes passed £2.5 trillion for the first time, driven by support from the Bank of Mum and Dad, longer mortgage terms, and the support of Help to Buy, Savills reported.
The mortgage guarantee scheme announced in this month’s Budget will boost this figure further.
Lawrence Bowles, a director in Savills residential research team, said: “People reassessed their housing needs and preferences as a result of the pandemic and that drove a surge in transaction activity in the second half of last year.
“This triggered rapid price growth as many buyers who felt secure in their finances looked for larger homes to accommodate the multiple demands of home working and home schooling, as well as extra space for living and leisure. It also meant that the total value of properties held with a mortgage rose by 6.9% as people stretched their borrowing to accommodate lifestyle demands.”
Discover our Residential Mortgage Broker services.
| Total value | % growthIn 2020 | Value gainIn 2020 | |
| London | £1,765bn | 6.1% | £101bn |
| South East | £1,420bn | 4.9% | £66bn |
| East of England | £855bn | 4.7% | £39bn |
| South West | £706bn | 6.2% | £41bn |
| North West | £561bn | 6.2% | £33bn |
| West Midlands | £508bn | 4.9% | £24bn |
| East Midlands | £418bn | 5.5% | £22bn |
| Yorkshire and the Humber | £411bn | 5.0% | £20bn |
| Scotland | £390bn | 4.5% | £17bn |
| Wales | £245bn | 3.8% | £9bn |
| North East | £158bn | 4.4% | £7bn |
| Northern Ireland | £117bn | 3.2% | £4bn |
| United Kingdom | £7,555bn | 5.3% | £380bn |
By MARC DA SILVA
Source: Property Industry Eye
Discover our Mortgage Broker services.