5
Feb
UK property equity almost £2 trillion
UK homeowners have built up close to £2 trillion in equity in
their properties over the last decade, new figures show.
According to a study conducted by GE Money Home Lending, the amount
of property equity currently held by Britons stands at £1.959
trillion.
This equates to £127,455 of mortgage-free wealth for each
property.
The study’s findings will be welcomed by homeowners who have
experienced a slowing in house price inflation over the last few
months, Gerry Bell, head of mortgage lending at GE, said.
Mr Bell commented: "Whatever happens to the property market in the
short-term, we have had a prolonged period of rising prices which
have, importantly, helped many homeowners to build up equity and a
reassuring cushion against any downturn.
"However, whilst consumers should take some reassurance from the
equity that they currently hold in their homes, they also need to
ensure that they are not complacent and continue to make prudent
financial decisions - particularly in an environment of economic
slowdown which could potentially see house prices falling."
The lion’s share of the property equity is held by homeowners
in London and the South East.
