Heightened activity in the UK housing market has been driven by a surge in buyer demand for detached properties during the pandemic, new research published by Halifax has suggested.

The analysis, based on data from the Halifax House Price Index and conducted in partnership with IHS Markit, found that the cost of detached properties in the UK has risen at almost twice the rate of flats.

In terms of changes in property prices since March 2020 through to the end of 2021, the average cost of a detached home in the UK hit £425,177 in December, an increase of £60,556 in cash terms which equates to a 17% rise. This compares to an increase of around 9% for a typical flat since March 2020, with prices rising by £13,325 to an average of £158,992.

Over the same period, terraced houses climbed by £27,715 (+15%) to an average of £213,798, while semi-detached properties have risen by £36,841 (+15%) to an average of £280,090.

Halifax suggested that one of the biggest impacts on the property market could be the widening of the gaps between each of these types of home.

“Record numbers of moves have been taking place throughout the pandemic, with the demand for detached homes now greater than for any other property type, meaning the competition for those looking to buy an often larger property is fierce,” said Halifax managing director, Russell Galley.

The analysis also showed that Wales and the North West saw the greatest increase in detached home prices, up 24.4% and 21.9% respectively. The most expensive detached residences are in London, at an average £910,568, where their rate of increase (+12.4%) was almost double the average of all property types in the capital.

“As employers began to crystallise longer-term plans for home and hybrid working, buyers have been able to consider homes further afield as the need to commute falls away, with properties previously considered too remote now giving families extras like garden rooms and home offices,” Galley added.

“This trend means Wales, with its beautiful countryside and lower relative property prices, saw the strongest growth in detached homes over the past two years.”

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