Has your home appreciated by £50,000 during the pandemic? A third of homeowners see listing values rising by £48 a day
- A third of homeowners see their home’s asking price increase by £50,000
- Wales has seen the largest increase in listing values for property at 22%
- The Northwest and Southwest both saw a 20% increase in values
- In London, the price increase is 7%, less than half the national average
A third of homeowners have seen the asking values of their homes rise by more than £50,000 during the pandemic, which translates to £48 a day, according to new research.
This means the total value of UK homes has risen by £1.3 trillion from February 2020 to £10 trillion in April this year as strong demand and a lack of supply continue to push house prices higher.
However, around 800,000 homeowners saw their homes lose more than 5 percent in value, Zoopla’s findings showed.
A third of homeowners have seen the asking values of their homes rise by more than £50,000 during the pandemic, Zoopla says
| Home value April 2022 (£bn) | Value of housing before the Feb-2020 pandemic | % change 2020-2022 | Average Property Value (April 22) | |
| London | 2,398 | 2,248 | 6.6% | 516,000 |
| South East | 1,879 | 1,633 | 15.1% | 394,000 |
| East | 1.109 | 964 | 15.0% | 350,000 |
| southwest | 965 | 803 | 20.3% | 320,000 |
| northwest | 765 | 636 | 20.2% | 192,000 |
| West Midlands | 671 | 573 | 17.3% | 225,000 |
| East Midlands | 569 | 476 | 19.5% | 235,000 |
| Yorkshire and Humber | 547 | 460 | 19.0% | 186,000 |
| Scotland | 493 | 435 | 13.3% | 164,000 |
| Wales | 335 | 274 | 22.1% | 201,000 |
| northeast | 213 | 182 | 16.8% | 144,000 |
| Northern Ireland | 143 | 125 | 14.8% | 158,000 |
| United Kingdom | 10,088 | 8,809 | 14.5% | 266,000 |
| Source: Zoopla |
The real estate website used their popular valuation estimates, which can be found on their website.
It monitors the rise and fall in asking prices of advertised properties and claims 32 per cent of its listings have appreciated by more than £50,000.
Homebuyers are experiencing rising property prices in many parts of the country
| Price change – February 2020 to April 2022 | Number of households (millions) | % Houses |
|---|---|---|
| Unchanged or lower | 1.7 | 6% |
| Higher by up to £25,000 | 8.8 | 30% |
| Higher – £25,000 to £50,000 | 9.4 | 32% |
| Higher – £50,000 to £75,000 | 4.6 | 16% |
| Higher – £75,000 to £100,000 | 2 | 7% |
| Higher – over £100,000 | 2.9 | 10% |
| Source: Zoopla |
Wales saw the largest increase in supply values at 22 per cent, followed by the North West and South West at 20 per cent each.
This contrasts with London, where the 7 percent increase is less than half the national average.
Affordability issues and the impact of the pandemic and working from home dampened demand for housing, particularly in high quality central London areas and for apartments.
The most valuable homes are in London and the South East – where prices tend to be higher – and account for 23.5 per cent of all homes in the UK.
But weaker growth means the share of real estate assets has fallen from 26 percent before the pandemic hit.
The South West region has 1.9 million households that have grown by more than £50,000, the most for any area.
Another 9.4 million households grew between £25,000 and £50,000.
Not everyone has made profits on the value of 1.6 million homes — equivalent to 5.7 percent — during that period that are currently equal to or lower than pre-pandemic gains.
Half of those homes — the equivalent of 800,000 — saw a decline in value of 5 percent or more, with most concentrated in central London, where the impact of the pandemic has impacted travel patterns, work patterns and demand for housing.
A total of 28 per cent of the homes that fell more than 5 per cent were in London – half of them in the central London boroughs of Westminster, Kensington & Chelsea, Islington, Hammersmith & Fulham, Tower Hamlets and Southwark.
Aberdeen and Aberdeenshire, where the economy was hit by the historic drop in oil prices, accounted for a further 6 per cent of the homes that fell in value.
Zoopla’s Richard Donnell said: “The boom in demand for homes created by the pandemic has pushed up the value of homes. Last year’s gains are the biggest since 2006, but they’re far from consistent.
“Every homeowner experiences the effects of the market through the changing value of their own property.
“Rising home values are opening up new opportunities for homeowners considering their next move. An exodus of older workers from the labor market during the pandemic, combined with more working from home, is prompting more households to look further afield for their next home for better value for money.”
He added: “Not everyone has seen home values rise. Affordability is holding prices back in London and southern England and our analysis shows that the housing market’s center of gravity is shifting north.
‘The greatest increases in value are in less expensive areas where there is still room for price increases even with modest increases in mortgage rates.’
