Prime Property Sales in UK Hit Highest Level since 2007
27 October 2011
According to research by Lloyds TSB, sales of properties costing £1 million or more were 10% higher in the first half of 2011 than the same period in 2010. According to the data, during the first half of this year 3,375 properties were sold costing at least £1 million. At an average of 19 per day, this is not only a 10% increase on the first half of 2010, but also the highest level of such sales seen since 2007.
With just 200,000 homes estimated to be worth more than one million pounds in the UK, this represents only a small fraction of the market with 1.1% of sales, and 5.7% of sales in London. Unfortunately the wider market is not doing so well; according to the data during the same period residential sales dropped 9%.
In fact two thirds of properties costing more than £1 million were in London, with the south-east of England, east of England and the south-west following behind. These four regions, combined with Scotland and the North East saw an overall increase in sales during the first half of this year compared to the first half of 2010.
The picture isn't so rosy for the West Midlands, Yorkshire and the Humber, the East Midlands and the North West, as sales of million pound plus properties in these four regions fell, with the West midlands seeing the most significant drop.
While the market for million pound plus homes has increased over the past year, the rest of the housing market paints a rather more subdued picture, and this increase in demand for prime property is mainly due to cash rich buyers from here and abroad, who have helped to boost this sector of the housing market.