Prices of flats rising faster than houses as Halifax says 'race for space' is reversed

manchestereveningnews.co.uk:

Prices for smaller homes are rising at a faster rate than larger properties, says Halifax. The bank says that smaller properties, particularly flats, are in higher demand due to affordability constraints faced by house hunters.

The bank noted that demand and home buyer's priorities have now shifted, reversing the 'race for space' trend that was predominant during the Covid pandemic when desires for larger homes soared.

Over the last year up until February, the cost of an average flat grew by 2.7 percent, whilst the price of terraced houses increased by 2.6 percent.

Increasing at a slower pace, prices for semi-detached and detached properties climbed by 1.7 percent and 2.0 percent respectively. READ MORE: ‘My £148,000 Greater Manchester house is like a catfish' Across Britain, Scotland saw the most significant price jump for flats with a 5.9 percent rise.