Are we on the (long and winding) road to recovery?
Whilst we are still a long way from the values seen before the credit crunch hit, house values appear to have begun a journey on the road (albeit a long one) to recovery.
Since March of this year the total value of the UK housing market has gained £250 billion – great news for homeowners and also means there will be fewer homeowners experiencing negative equity than there were six months ago.
This now takes the total value of the UK residential housing stock to a whopping £5.25 trillion, up over £250 billion (five times the wealth of Mr Bill Gates according to the new Forbes 400 list) from the recent lows in March this year; this figure still remains well below the market peak of over £6 trillion achieved in late 2007.
It’s all very well shouting about eye watering figures, but here at Zoopla.co.uk we’re more interested in telling you what this means for the value of YOUR home on YOUR street. On average the value of your home is likely to have risen £57 per day since March or just over £10,400 in six months – taking the value of the average British home to £203,622.
Whilst these figures are encouraging, and will come as a welcome relief to many homeowners, the figures are still down £31,592 from the December 2007 peak, when the average British house price stood at £235,214.
Home values in England are now up 2.23% since the start of the year and are beginning to recover even faster in Scotland with an increase of 5.25% since January. Average home values in Wales, however have been the slowest to show signs of improvement, up 0.95% in 2009.
If you live in Windsor & Maidenhead you have the biggest reason to celebrate – prices in this area over the last six-months have roared back by over 10.2%. However those living in Durham have less to cheer about as values in this area are the slowest recovering seeing values grow by only 1.1% since March and those living in Stroud in Gloucestershire where property values have fallen a further 3.7% since March are yet to experience any sort of recovery.
So, the next six months will be crucial in determining whether this slow recovery is here to stay or the beginning of a second dip. In the meantime don’t forget to claim your home and monitor the current value of your home on Zoopla.co.uk!
For more best performing and slowest recovering areas and towns, click here.