Homeowners in the UK can now make more money from their home than they can from working. New research has revealed that people who have bought their own home can earn more per hour from their house price going up than they can from their salary.
The latest house price data shows that house prices have climbed by almost £10 an hour in some regions, caused by extreme demand in the property market.
This means that many homeowners can now clock up more money per hour from the rising value of their home than they can from their job, according to research carried out by analysts at House Buy Fast.
READ MORE:
People living in a property worth £289,099, which is the current UK average according to House Buy Fast, can expect to have seen their house price increase by at least £19,842 over the last 12 months. That breaks down as £9.88 an hour, £79 a day and nearly £400 a week, reports the Mirror.
Meanwhile millions of Brits who live in properties worth £425,000 will have seen their value rise by almost £30,000 a year. That is the equivalent of £560-a-week which, according to the Office for National Statistics, is higher than the current UK average weekly wage.
Many who own properties worth between £850,000 to £1 million are likely to have seen values rise at more than double the rate of the national average weekly wage over the past 12 months.
Commenting, Jonathan Rolande, the founder of House Buy Fast, said: “The house price surge over the past couple of years has been truly staggering. In very many cases homeowners are now earning far more an hour through the value of their property increasing than they are by going to work.
“To see house prices rising faster than the rate of wages in this way is bittersweet. On one hand it underlines, once again, the strong position those owning their own home now find themselves in. But on the flip side it shines a light on the struggle many trying to enter the market face."
House Buy Fast have also created a free-to-use calculator which lets users see how much their home has risen in value over the past year. Buyers and sellers can also track any changes and keep note of the impact of any changes by the year, week, day and even working hour.
In March figures showed that house price rises had outstripped wage growth in more than 90 per cent of England and Wales.
Kensington and Chelsea remained the least affordable local authority area in England and Wales, with average house prices estimated at 36.5 times the typical annual wage.
Last month it was reported that the average UK house price hit a fresh high, rising for the 11th month in a row. House prices increased by one per cent between April and May, or £2,857, taking the average price of a home to a record of £289,099.
While annual house price growth remains at the elevated level of 10.5 per cent, this is the slowest rate of growth since the start of the year.
Sign up to our free weekly property newsletter by clicking here
READ NEXT:
Inside the cheapest home for sale in Greater Manchester - with a guide price of £15,000
Greater Manchester's most expensive areas to live where house prices just keep on rising
How much first-time buyers need to save for a deposit on a house in Greater Manchester
The house hunting tip that can help you save £22,000 on your next home
Inside the beautiful family home in Trafford which boasts six bedrooms and gigantic garden
