Gap between flat and house prices at widest in 30 years

Insight from Zoopla found that a decade ago, houses were 1.3 times more costly than flats. It attributed this to the average price of a house rising 43% across the UK since 2016, while flats saw just a 10% growth. 

Currently, the average flat in the UK costs £193,000, while the typical house is valued at £327,000. 

Outside of London, the gap is even wider, with houses being 2.3 times more expensive than flats, up from 1.8 times in 2016. 

The widest gap was recorded in the West Midlands, where houses were 2.5 times more costly than a flat. 

Richard Donnell, executive director at Zoopla, said: “The gap between house and flat prices has never been wider, and for buyers who are prepared to do their homework, that presents an opportunity. 

Sponsored

EPC planning: act now or risk the rush later

Sponsored by BM Solutions

“For many, flats remain the main route into homeownership, particularly in London and the South East, where the cost of buying a house is higher.” 

The leasehold effect 

Zoopla suggested that most flats being leasehold probably impacted price growth, as it found that in Scotland, where the long leasehold system does not apply, the ratio has stayed stable over the last 10 years. 

In Scotland, flat owners hold the freehold of their property, and houses are currently 1.9 times higher in price than flats, similar to the 1.8 ratio seen in 2026. Further, this has barely moved in the last 30 years. 

Around four in five flats for sale in England are leasehold, and according to analysis by Zoopla, leaseholders pay around £200 per year in ground rent and £1,900 in service charges. In total, this would be around £2,100 per year. 

Zoopla said freeholders would still need to foot the bill for insurance and repairs, but in Scotland, the cost is shared between flat owners, and there is no annual ground rent or a lease with a diminishing number of years like in England. 

However, the firm said this was not the only factor impacting property prices, as affordability played a role. 

It found that the flat-house price gap is widest in the Midlands and Northern regions, where affordability means people can bypass flats as starter homes and purchase houses. 

According to Zoopla, more than half of first-time buyers outside of London want to buy a three-bed house, while seven in 10 London first-time buyers are seeking a flat. It said this supported demand and maintained the house-flat price ratio. 

Flats stay on the market for longer 

Zoopla found that in Scotland, flats take 15 days to sell on average. This is a similar length of time to houses and has been broadly consistent over the last five years. 

By comparison, flats across England and Wales but outside of London take around 42 days to sell, nine days longer than houses. 

In London, it takes 45 days for a flat to sell compared to 37 days for a house, a gap of eight days. 

Zoopla said this may be because buying flats in England is more complex, which could make buyers apprehensive. 

Average leasehold running costs are around 0.7-1.3% of a property’s value each year, which Zoopla said was important as many lenders would scrutinise a property where costs exceed 1% of the value, which could make getting a mortgage harder. 

Average flat and house time to sell by region – March-May 2026

Where homes on the market for less than six months

Donnell said buying a leasehold flat was more complex than a house because of the lease length, service charges and ground rent terms, particularly as these varied between properties. 

He added: “This complexity is not the same as risk, and the leasehold system is being actively reformed. Buyers who invest time to research and understand the system and get support can take advantage of the gap between flat and house prices. 

“A well-managed building with a long lease and stable service charges is a very different proposition from a property with less clarity on service charges and a short lease.”