As anyone watching the property market knows, house prices are increasing. And, according to the latest research from Boomin, the property platform, the total value of the housing market in England has increased by 80% in the last decade – an increase driven predominantly by the value of homes in the rental market.

If you’ve been considering buying a home for the first time, this might not come as a surprise. The research shows that today’s buyers are being priced out of the home-buying market until later in life, creating an increase in the number of people renting for longer.

 

The national residential property market

What does this look like in figures? Boomin’s research analysed the numbers of owner-occupied properties and those privately rented. The combined market is currently valued at £7.4 trillion – an entire market increase of 80% over 10 years.

Across the country, the housing market is still the largest – a total value of £4.6 trillion compared to the rental market value of £1.5 trillion.

But when you compare the rates of growth, the trend towards the rental market becomes clearer. The housing market has increased in value by 75% over 10 years, while the rental market has gone up by 105%.

 

Regional growth across the market

The trend across the rental market is clear across all regions in England. However, perhaps unsurprisingly, the region with the most growth is London, which has seen an increase of 124% in the rental sector value, a current total of £529 billion.

Meanwhile, the region with the most valuable housing market is the South-East, with just over £1 trillion.

Altogether though, it is the capital that has seen the most growth. The total market increase in London has a combined value of £1.8 trillion – a 97% increase over 10 years.

As Michael Bruce, chief executive and founder of Boomin says, “We are a nation obsessed by property and home-ownership is one of the key milestones that we all strive to achieve in life. So, it’s hardly surprising that the total value of the nation’s ownership market is over three times that of the rental market and home-ownership remains the predominant style of living for the vast majority.”

So those investing in property over the past decade have won hands down, but property investors and landlords especially it seems. London too is the big winner. Despite the stalled market in the capital of late, its overall momentum as a property market powerhouse means that it has seen the biggest value improvements in the last decade regardless.”

If you’re considering renting or purchasing a property to let, speak to one of our knowledgeable team at Boothroyd & Co today. You can rely on our specialist local knowledge to provide expect tenant and landlord advice.