The Halifax Annual Review of the Value of Housing Stock 2006 has found that private housing stock in Britain has increased from £1.1 trillion in 1995, to £3.4 trillion in 2005.
The most valuable properties were in London, where 7 of the 10 most expensive local authority areas are situated. The London housing market was valued at £584 billion. The north / south divide has narrowed, with the percentage of housing wealth in the south falling from 60% in 2000 to 55% last year.
After several years of considerable house price growth in Wales, the market finally seems to be slowing down - depending on who's figures you believe. According to Nationwide, the average house price in this area fell by 0.1% in 2005. On the other hand, Halifax has announced that prices have risen by 14%.
The latest Land Registry figures have diplomatically 'split the difference' and put the annual increase at 6.3%. The Halifax believe that Wales has outperformed the UK property market for the last three years, especially in 2003, when prices rose by 32% compared to 15% across the UK. In 2006, Welsh house prices are expected to remain stable at 3% along with the rest of the country. The average Welsh property is now worth £145,096, beating the North, Northwest and Humberside. House price growth and tenant demand has also caused the region to see a buy-to-let boom.
Our view
The only thing on these Islands that does not increase is land mass. As a result property, despite minor setbacks, will generaly always increase in value.