The value of mortgage debt has risen 88 per cent since 2002, while the value of all privately owned houses in the UK has increased 62 per cent over the period.
According to research by Halifax, mortgage debt in the UK has risen from £675bn in 2002 to £1.27trn at the end of 2012.
Over the same period the value of the UK’s housing stock, including owner-occupied and private rented properties, has risen 62 per cent from £2.57trn to £4.2trn.
Housing equity increased from £1.89trn to £2.90trn over the period.
Halifax housing economist Martin Ellis says: “The combined value of all privately owned houses in the UK is estimated to have exceeded £4trn at the end of last year. The increase in total housing value over the past decade is equivalent to over £71,000 per privately owned property.
“Aggregate housing equity held by UK households is in a healthy state with total housing assets worth nearly £3trn more than the total value of mortgage debt. Despite the rapid rise in mortgage debt over the past 10 years, housing equity has grown by £1trn since 2002.”
The strongest house price gains were made in Scotland, followed by London and the North East.
Private housing stock in Scotland has appreciated by 115 per cent since 2002 and by 83 per cent and 76 per cent in London and the North East respectively.
The smallest increases were in the West Midlands and the South East, registering increases of 45 per cent and 50 per cent respectively.