Almost 12 million homes have risen in value by £49,000 or more
Almost 12 million homes have risen in value by £49,000 or more since 2016, reports newly-released Zoopla research.
The rise in value of British homes over the past five years equals £1.6 trillion! This is around the same amount as the market cap of Apple – the most valuable company in the world.
The average property is up in value by £49,257 since 2016. The value of homes in Britain now totals £9.2tn, which is four times the UK’s GDP – the value of all the good produced and services provided every year. It’s also four times the value of all companies listed on the FTSE 100.
What’s the reason for the 20% rise?
Zoopla says that the growth in house price since 2016 has been underpinned by very low mortgage rates. In the last 18 months the Covid pandemic has caused higher buyer demand as people look at what they want from a home. However, this increased demand has been met by only a limited supply of homes available for sale, which has driven house price growth.
What does this mean for you?
The big rise in house prices means that your home could be worth more than you think.
This can give you more money than you thought you had for an onward move. It can also mean that you could get a cheaper mortgage as you will be borrowing a smaller proportion of its value.
Preston Baker can value your home and help you with any mortgage questions. Contact us now on 0800 084 1220.
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