British home values down over half a trillion pounds in '08
House prices have been hit hard this year but still no bottom in sight
British homeowners will collectively lose over half a trillion pounds (591 billion) in property value by the end of 2008, according to analysis released today.
Zoopla.co.uk, the UK's leading house prices website, has calculated that the total value of all homes in Britain now stands at less than £5.5 trillion, having peaked at over £6.2 trillion in August 2007.
Average home values since the start of the year have fallen by £22,083 (a drop of 9.72 per cent), and as a result over 2.1 million homeowners in Britain are now 'underwater', having paid more for their properties than they are currently worth.
Alex Chesterman, CEO of Zoopla.co.uk commented: "2008 will certainly be remembered as the year that marked the acceleration of the housing market correction and the year will end with a sixth consecutive quarter of declining house prices. With further job losses predicted, increased repossessions and the continued decline in transaction volumes, the bottom does not appear to have been reached yet."
Hertfordshire was named as the 'hardest hit' county with home values dropping an average of £31,280 since January and the worst performing area in terms of house prices in 2008 was revealed as Birkenhead in Cheshire, where homes have lost an average 14.87 per cent of their value throughout the year.
Hardest Hit Counties of 2008
Avg. value loss since Jan 08 | Zed-Index* as at Dec 08 | |
|---|---|---|
-£31,280 | £301,330 | |
-£29,377 | 232,434 | |
-£27,551 | 293,214 | |
-£27,058 | £97,962 |
* The Zed-Index is the current average Zoopla.co.uk estimate of home values
Worst-Performing Areas of 2008
Avg. change since Jan 08 | Zed-Index* as at Dec 08 | |
|---|---|---|
-14.87% | £97,848 | |
-14.35% | £304,511 | |
-14.15% | £196,311 | |
-13.98% | £354,741 | |
Bury St Edmonds, Suffolk | -13.91% | £219,907 |
* The Zed-Index is the current average Zoopla.co.uk estimate of home values
"For those who wish to keep track of their most valuable asset - or check out the value of anyone else's - Zoopla.co.uk is the ultimate tool, providing free instant value estimates on any UK home, along with local information and market trends" Chesterman added.
- Ends -
About Zoopla
Hello. We're Zoopla. A property website and app.
We know you're not just looking for a place to live. You're looking for a home.
Yeah, we've got over a million properties for you to browse.
Tools that let you filter them in all kinds of clever ways.
And reliable house price estimates, so you can be sure you aren't paying over the odds.
But we know you're looking for more than that.
Because that first flat won't just be a 'great investment opportunity'.
It'll be the feeling of starting out on your own.
That extra bedroom won't just mean another £20K on the re-sale price, it'll mean having your sister over to stay.
And that bungalow won't just be a way to release some equity, it will be a chance to spend more time with the grandkids.
We know that searching for a home is about more than just checking its price, location and features (important as all those things are).
What really matters is how it makes you feel.
We know what a home is really worth.
So let us help you find yours.
Zoopla is part of Zoopla Limited which was founded in 2007.
Zoopla Limited, The Cooperage, 5 Copper Row, London, SE1 2LH Registered in England and Wales with Company No. 06074771 VAT Registration number: 191 2231 33 Data Protection number: Z9972266