The value of potential UK home equity hits a peak of £811bn – Canada Life

The potential house capital available to homeowners in the UK has reached a record high of £811 billion due to rising average house prices.

Based on the Halifax House Price Index, Canada Life analyzed that the net worth available to homeowners in England, Scotland and Wales aged 55 and over increased by 25, £6 billion.

This represents an average of £1.09m of home equity per household.

Properties in the South East have the highest values ​​in the UK at £369,000, creating £157.6 billion of potential equity for all households and £138,700 individually.

Homeowners in the Northwest experienced the largest increase in property values ​​with a 4.8% increase. This brought the total net worth available to homeowners in the area to £20.5billion or £59,400 per household.

Despite seeing the slowest growth in property values ​​with a 2.3% increase, London homeowners can potentially access the most equity in the UK, at £191,500 per household.

Alice Watson, Chief Marketing Officer, Insurance at Canada Life, said: “Our latest home price research once again shows the value that freeing up capital could bring to households across the country. Everyone is noticing the rising cost of living in the UK and people are feeling the pinch of rising inflation. Our latest home price research shows the average sums homeowners could expect to receive if they explored some of the value locked up in their property. With over £800bn available across the UK, the collective pot is breaking new records every quarter.

“While releasing the equity in a property remains a very important and individual decision, it has a valuable role to play in helping today’s homeowners live the retirement they worked for or provide for the needs of other family members in difficult times. With the right advice, Capital Release has proven to help people access their housing wealth in a flexible and secure way. »

Penny D. Jackson