Housing value is in good shape

Housing value is in good shape

	Published : Sun, 19 Feb 2006 14:05 By : Amy Watts Print this Story

LONDON - The value of homes in Scotland had increased by an astonishing 138 percent over the last decade, according to a report by the Bank of Scotland (BoS). The corresponding increase in value stands at a whopping £190 billion.

The report also found that the value of the UK's housing market more than trebled in the same period from £1.1 trillion to £3.4 trillion. A report by Halifax also said that in the last decade there has been a 213 percent increase in housing assets, while mortgage debts have grown by 148 percent. In Scotland, Edinburgh had the biggest housing stock valued at £27 billion, which is greater than the figure of Glasgow and Aberdeen combined.

Edinburgh stood at the seventh position in the overall rankings in the UK. Scottish houses have increased their value by 17 percent over the last 12 months as compared to the 6 percent gain in England. Westminster was the most expensive private housing stock valued at £40 billion, while Glasgow's was valued at £17 billion and Aberdeen's £10 billion.

Seven of the top ten areas with the most valuable "private housing stocks" were located around London. "The Scottish private housing stock increased in value by nearly £30bn in 2005 and is now worth a record £190bn. Over the past 10 years the increase has been more than £100bn. Edinburgh is clearly the jewel in the crown of the Scottish housing market," said Tim Crawford, chief economist at Halifax.

He also said that the UK housing market was healthy, "The UK housing market increased in value by nearly £200bn in 2005 and is now worth a record £3.4 trillion. Over the past five years the increase has been more than £1 trillion," he observed, adding that the figures indicated that the household balance sheets were thriving. "Housing assets are worth three and a half times the value of housing debt and assets have increased by more than debt levels in each of the past 10 years," he said.