New data reveals how much equity average homeowners have

Newly released figures reveal the varying amounts of average home equity across key UK cities.

Related topics:  Finance,  Property,  Equity
Property | Reporter
11th October 2023

The data – which shows how much of their property a homeowner owns outright – may come as a pleasant surprise to some, giving them more money than they thought to put towards their next property, and allowing downsizers to cash in.

The figures are based on those who purchased in 2020. So, if the average homeowner has this much equity within just three years of buying, many people who bought years before this will likely have a lot more available.

The average home equity amount varies across the UK, with London being the highest (£170,946), followed by Bristol (£118,933) and Manchester (£87,880). Despite Liverpool being the lowest (£61,609), it’s still a substantial amount to gain in just three years.

Average amount of home equity across key UK cities

London: £170,946

London homeowners have the highest average amount of equity across the UK, which is at a staggering £170,946. The city offers lots of job opportunities and unique experiences which make it an exciting place to call home. However, those looking to bank their equity may want to consider moving out of the capital to purchase a cheaper property that likely has more space both inside and out.

Bristol: £118,933

The average amount of equity for homeowners in Bristol is a healthy £118,933. Nestled in the picturesque southwest of England, Bristol is often considered a family-friendly city due to its vibrant culture, excellent educational opportunities and diverse range of activities.

Given the substantial average amount of equity, homeowners and downsizers may want to consider selling up and moving on their next adventure to a different location in the southwest.

Manchester: £87,880

The third biggest UK city is third on the list. Mancunian homeowners are sitting on an average amount of £87,800 in home equity. Manchester is home to great educational institutions, numerous museums, galleries, fun activities and various events – making it a popular choice for families.

Cardiff: £82,836

Cardiff is a great place for families and offers a blend of historical significance and modern amenities. With various eateries, and leisure facilities, as well as its scenic coastline, there’s always something exciting to do. However, those who want to make the most of their home equity may be considering moving out of the city to a different location in South Wales to take advantage of slightly lower house prices.

Birmingham: £77,408

Despite being fifth on the list, Birmingham-based homeowners who purchased in 2020 also have a good amount of equity, on average. The second largest city in the UK is an ideal place for families to settle down thanks to its impressive variety of restaurants, shops, green spaces and entertainment venues. If you’re considering upsizing or downsizing, there are plenty of homes available in Birmingham to choose from.

Sheffield: £76,764

Close behind Birmingham is Sheffield, with the average homeowner gaining £76,764 in home equity. This city is a great choice for families due to its balance between urban amenities and natural beauty, with numerous parks and green spaces to take advantage of. Plus, the relatively affordable cost of living compared to some other larger cities makes it an attractive location.

Liverpool: £61,609

Finally, the average Liverpudlian homeowner has £61,609 in equity. Liverpool has a wealth of positives that make it a good place for families to live, including a rich cultural scene, good education options, lots of green spaces and community and family-oriented events.

Helping people to make the most of their equity and sell their existing homes with ease, St. Modwen Homes has three handy schemes that homeowners can choose from. Part Exchange, Part Exchange Max, and Assisted Move.

Jo Winston, Sales and Marketing Director at St. Modwen Homes, comments: “Our three schemes have been specifically designed to give homeowners a guaranteed buyer and allow them to sell their house quickly and easily. This means that they can enjoy their new St. Modwen Homes property sooner than planned, without all the worries of extortionate fees and lengthy chains.”

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