The average price tag on a detached home has increased by around 23 times that of a flat in cash terms during the coronavirus pandemic.
Typical asking prices on flats have increased by around £2,000 or one per cent since February 2020, while those on detached homes have surged by about £46,000, or 10 per cent, according to property website Rightmove.
The average asking price for a flat is £277,302 while detached homes now command a typical price tag of £517,180.
There are, however, signs that flats are starting to make a comeback, with the number of sales agreed for flats up by 14 per cent in June and July this year compared with June and July 2020.
This is likely driven by lockdown restrictions easing, working patterns becoming clearer and much better availability of low deposit mortgages, Rightmove suggested.
The average asking price for a flat in London is £534,054, which is still more than the average price of a detached home across Britain.
Rightmove’s director of property data Tim Bannister said: “In the first few months of the housing markets reopening across Great Britain last year, flats were temporarily out of favour as people sought bigger homes with more space further out, but we’re now seeing this trend start to shift back again.
“This means it could be a good time for those first-time buyers who would like to buy a flat to see what’s available before prices start to rise further, as the majority will benefit from being exempt from stamp duty and, although activity is increasing, there’s still less competition among buyers for flats than for houses right now.
“The sharp rise in average asking prices for detached homes probably comes as no surprise to those who have been following the rush for room that emerged when the market reopened and, with available stock still limited and strong demand continuing, we’re unlikely to see prices fall for this property type any time soon.”
For more stories from where you live, visit InYourArea.
