During the current UK housing market boom, one common theme has been that months of lockdowns have fuelled an increasing buyer demand for larger, more spacious homes, with many industry commentators reporting that detached homes are outperforming other types of property.
However, research by Birmingham estate and lettings agent, Barrows and Forrester, analysed the past ten years of British house price data and discovered that detached homes are not in fact the market leaders on a long-term basis.
According to the findings, between 2011 and 2021, the average annual rate of price growth for a detached home in Great Britain was 4.41%. This means that detached homes have enjoyed more growth than flats (4.10%), but have been outperformed by both semi-detached homes, with 4.57% growth, and terraced homes with the highest overall growth of 4.70% over the ten-year period.
By breaking the data down to a local level, Barrows and Forrester have also been able to shed light on what types of property have enjoyed the biggest average annual price growth in the various regions of Great Britain.
Detached homes have seen the highest growth of any property type in Scotland (3.21%), North East England (2.17%), and Yorkshire & Humber (3.54%).
But Semi-detached homes have led the way in six British regions between 2011 and 2021, including the West Midlands (4.38%), North West England (4.17%), South East England (5.24%), South West England (4.33%), Wales (3.82%), and the East of England (5.34%).
Terraced houses have seen the strongest average annual growth among all property types in the East Midlands (4.82%), London (6.59%), and the West Midlands (4.38%).
Meanwhile, despite enjoying overall average growth of 4.10% across Britain, flats have not led the way in any specific regions. In fact, price growth for flats has consistently ranked bottom across the board in every part of the nation.
James Forrester, Managing Director of Barrows and Forrester, commented: “There is no doubt that detached homes have enjoyed a significant increase in demand over the past 18-months or so but, semi-detached and terraced homes have long been the most popular types of home and this data proves that the recent boom for detached homes has not been enough to move it higher than the number three spot.
“But the biggest takeaway from this should be a celebration of how diverse our housing market is. The real winner of this story is not terraced homes, it’s the UK housing market. Price growth has been consistently positive for all types of homes over the past decade and ranking the performance of each leaves us with less than 1% separating them all.”
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