Apartment prices continue to rise
Since the financial crisis and subsequent difficulty of many people to get mortgages, demand for more affordable properties has inevitably increased. Since 2005 the average price of flats in the UK has risen by 60%, this compares with the average for all other properties by 38% in this time. Detached homes have reported the smallest increase of just 21% while bungalow prices rose by 28%, all according to figures issued by the Halifax, one of the leading home lenders in the country.
As expected London is driving the average up, with prices in the capital showing increases of 67% taking the country average increase for flats up to £87,550 or £730 per month. The figure in 2005 was £145,874, today it stands at £233,424.
Naturally figures vary across the country, with a typical flat situated in the North, East Midlands, Wales and Yorkshire and the Humber, standing at £120,000, whilst similar properties in the North West, West Midlands, Scotland and East Anglia, demanding between £120,000 and £145,000. Figures for London far exceed those anywhere else and at £370,281, it can be seen how much more properties in the capital cost.
Although we see that flats have been the best performing properties in the last ten years, in Greater London, Scotland and the South West, demand for semi-detached properties in the South East, East Anglia and the East Midlands has meant that these have risen the most. In other areas such as the North, North West, Yorkshire and the Humber, West Midlands and Wales, it is terraced homes that have shown the biggest increases in value, the average price of these is between £119,000 and £143,000 in all regions, excepting southern England.
The most popular style of property remains as the semi-detached and terrace home, over the last decade these two types represent 59% of all home sales in 2015, up slightly by 1% since 2005. First time buyers favour the semi-detached home and these account for 28% of sales in 2015, an increase from 20% in 2005. Sales of flats has fallen marginally over the same period, 3% down from a figure of 20% of all property sales.