Housing stock worth £4 trillion

Posted: 14 Jan 2008 11:03:16 GMT

It has been revealed that the value of the UK's private housing stock increased by nine per cent in 2007.

It has been revealed that the value of the UK's private housing stock increased by nine per cent in 2007.

According to the Halifax Annual Review of the Value of the Housing Stock 2008, the nine per cent increase took the overall value to a record level.

An increase of £320 billion was recorded, taking the total value of housing stock to a record-breaking £4 trillion.

"UK home owners have collectively accumulated an extra £2 trillion of equity in their homes over the past decade as property prices have risen," said Halifax chief economist Martin Ellis.

"This has significantly strengthened the household balance sheet. Mortgage debt accounts for only 30 per cent of the value of the UK's £4 trillion worth of housing assets," he added.

The report also highlighted the fact that the north-south divide is narrowing.

In 2007, the south accounted for 55 per cent of UK housing assets, while the north accounted for 45 per cent.

That signifies a narrowing of the gap since 2002 when the south accounted for 61 per cent and the north for 39 per cent.

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