Yahoo Finance Detached homes record highest rate of annual house price growth in 2020
Detached homes saw the highest rate of annual house price growth out of all property types last year. This was across almost every region in the UK.
The latest research from property portal OpenBrix, which assessed the figures from the Land Registry, showed that the value of detached properties climbed by 6.8% annually in December across the country.
Terraced homes were the next most popular, with property values climbing 6.1% in the last year, while semi-detached houses saw an increase of 5.4%.
In contrast, the rush for more space meant that demand for flats declined, with prices increasing by just 2.3% annually.
It comes as UK buyers scrambled to buy bigger homes with more outdoor space last year, after the housing market reopened, as the coronavirus pandemic ripped through the nation.
In all but three regions of the UK, detached homes saw the highest house price growth rate. The largest increases were in Yorkshire and the Humber, the South West and the North West, where detached homes jumped 8.1% in value over the last year.
Detached homes also saw the highest rate of house price growth of all property types in Wales, the West Midlands, London, the North East, South East, and England.
Adam Pigott, chief executive of OpenBrix, said: “To see detached homes top the table across almost all UK regions where price appreciation is concerned highlights the considerable change in buyer behaviour over the last year and as a result of Covid.
“While a vaccine would have provided a glimmer of hope for the year ahead, it’s fair to say that the events of Christmas have once again plunged the nation into a sea of pandemic uncertainty. As a result, it’s unlikely that any established trends due to Covid will be reversing themselves anytime soon.
“Therefore, we can expect to see detached homes continue to dominate the market, both where popularity and price growth are concerned over the coming year.”
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The news comes as house price growth cooled to a six-month low in December as Britain’s COVID-fuelled property boom began to lose steam.
Desire to move since the pandemic hit and stamp duty cuts have fuelled the market since the middle of last year, but the stamp duty holiday will end in England and Northern Ireland in March.
With time running out to get transactions over the line in time, the economy in dire straits and a potential cooling of pent-up demand after the first UK lockdown, average prices edged 0.2% higher last month.
The data from lender Halifax marked the lowest increase since June, but still showed a sixth month of growth where demand has driven prices higher. The boom in sales and prices has surprised economists amid lockdown curbs and the worst recession in three centuries.
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