Here’s the reason why the UK housing market is considered one of the top in the world attracting global investors – the housing stock in the UK is now valued at £6.79tn, up £491bn in 2016 and £1.86tn in 5 years! Reputed real estate advisory firm Savills, in its latest research, established that the UK housing stock is now worth 3.65 times Britain’s GDP.
This clearly shows that the housing stock in the UK is one of the greatest stores of wealth, and has lots to offer to investors. Incidentally, the private housing equity passed the £5tn mark, for the first time in the UK, indicating the role played by the private sector in the housing sector.
London and South East England have significantly contributed to the growth of the housing stock value in the last five years. London and South East, which have just a quarter of all UK homes, accounted for over half the UK’s total value growth. In 2016, their combined value crossed the £3 trillion line.
In fact, Outer London outpaced central London, with Barnet recording highest growth in housing stock value, Savills said. The growth in Outer London was primarily driven by buyers of affordable housing.
Despite recent political developments and changes in the economy, the UK continues to remain an attractive destination for investments in the housing market.
“Over the past three years, low interest rates and strong consumer sentiment have combined to deliver very strong value gains,” says Lucian Cook, head of residential research at Savills.