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UK homes rise in value during 2012, but still below 2007

During last year homes in the UK gained £57 billion in value, considerably reversing the previous year’s figures (where the housing sector revealed a fall £124 billion). However, according to research by the property website Zoopla, houses are still worth 10% less than the 2007 total. The studies also revealed considerable disparity in regional growth rates, with almost three-quarters of the increase accounted for by London property.

This feedback reveals the total value for the UK’s residential property stock was standing at £5.963 trillion in December 2012, compared to £5.906 trillion 12 months previously. Last year’s increases effectively return the UK housing market total to the same value as December 2009. There was a £67 billion gain in 2010 but the £124 billion fall the following year.

In terms of the regional trends, Scotland and Wales fared a lot worse than England, with the total value of the English residential housing market growing by 1% to £64.8 billion, compared to a 0.3% fall in Scotland (£1.2 billion) and a 3.1% fall in Wales (£6.6 billion).

Homes Rise in Value

66% of the UK’s largest urban areas underwent increases in total property values in the same period, while amongst the 20 biggest cities London represented those homes where the value had increased the most (up £42.4 billion). This was closely followed by Bristol (£2.3 billion), with third place being claimed by Edinburgh (up £922 million). In contrast, the losing cities in terms of market values for 2012 were in the north or midlands: Sheffield was down £286 million, Doncaster down £160 million and Stoke-on-Trent down £149 million.

According to Zoopla’s Lawrence Hall: ‘These figures highlight the varying performance of the property market in different regions last year. While some areas saw decent growth in property values, others are still facing an uphill struggle’.

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