17/03/2007 - Terraced Houses see the biggest price rises
New research by Halifax Estate Agents shows that over the last five and ten years house price increases in the UK have been greatest for terraced houses.
Based of Halifax's house price data, results show that over the last ten years the average terraced price has increased by 239% closely followed by flats and maisonettes at 235%.
Over the last five years, the trend is a little different. Terraced properties have still recorded the biggest average price increase at 113% but, the next biggest increase was semi-detached houses at 95%. Flats and maisonettes recorded modest growth at 87%.
Despite the strong growth in the price of terraced properties, detached houses still have the highest average price of all property types. The average price of a detached property in the UK is now £326,396, compared to £110,240 at the end of 1996.
In 1996, the average detached property would have been well under the Inheritance Tax (IHT) threshold of £200,000. Even with an increase in the IHT threshold in April this year to £300,000, the value of the average detached property will be well in excess of this. Currently, the average detached property (£326,396) is well in excess of the £250,000 (3%) stamp duty threshold.
The average price of all property types is now above the £125,000 (1%) lower stamp duty threshold. In 1996, the lower stamp duty threshold was £60,000 so both the average terraced property (£54,945) and flat and maisonette (£58,046) were below this.
Tim Crawford, Group Economist, Halifax Estate Agents, said: "Terraced properties have seen the largest average house price increases in both the last five and ten years. Although the average price of a terraced house is still below the UK all property average, the gap has narrowed.
"Our research shows there are big regional differences across certain property types. In many cases this is a result of the availability of property types and the composition of historic housing stock. For instance, the availability and popularity of flats in London is much greater than in other regions of the UK." www.halifax.co.uk