The total value of private homes across the UK’s 20 biggest cities now stands at more than £3 trillion, according to analysis.
Two-thirds (66%) of that figure is due to London alone, property analysts Hometrack said.
Birmingham and Manchester are the second and third most valuable cities in the study, accounting for £152 billion and £133 billion respectively.
At the end of 2016, outstanding mortgage debt across 20 UK cities stood at £610 billion - leaving £2.4 trillion of equity available to home owners.
Oxford (87%), Cambridge (85%) and London (83%) are the cities with the highest percentage of equity as a share of total private housing value.
Aberdeen, Glasgow and Belfast have more mortgage debt as a share of total market value, all with 69% equity.
Surges in house prices in London, Oxford and Cambridge in recent years have helped boost the equity position of many home owners, although in recent months these cities have seen a slowdown in price growth.
In August, the cities with the fastest annual growth in house prices were Manchester and Birmingham, at 7.3% and 6.7% respectively, according to Hometrack’s index.
Richard Donnell, research and insight director at Hometrack, said: “House prices continue to rise on the back of sustained price inflation in large regional cities as unemployment falls and mortgage rates remain low.”