Lockdown has seen people upgrade to property more suited to work-life balance
According to Rightmove, properties worth £1million are selling more quickly. For once, it is not rising prices that are forcing more properties into this bracket - but instead it is in pursuit of a better lifestyle.
Rightmove claim that last year, houses with an asking price of £1million plus took an average of 81 days to sell - 22 days longer than the rest of the market due to the wider market and higher price points. However, in August 2020, it took an average of just 63 days to find a buyer and the number of £1million-plus houses finding a buyer rose by 105% annually, a higher rate of increase than the market as a whole, where sales agreed of houses increased by 61% year-on-year.
Whilst you might think that this could be due to rising prices thanks to a small market boom during the summer, and therefore figures may be artificially increased enough to push more properties into this more expensive bracket, the trend actually has nothing to do with price.
In fact, it appears wealthier buyers are simply adapting to their new working routines from home and are seeking more space indoors that would provide a more ample study or working area. What’s more, according to Lucian Cook, head of residential sales at national property company, Savills, people who have not moved for a long time are suddenly realising the amount of wealth they have tied up in their homes. That, paired with relatively secure financial incomes, has seen them act quickly to purchase something better suited to their changing housing needs or priorities - such as a better work-life balance.
It also appears people are ditching the cities in favour of more picturesque scenes Rightmove claim Norfolk, Wiltshire and Cornwall were the hottest millionaire markets. In these areas, the number of sales being agreed by agents are up by 244%, 174% and 165% respectively, with experts in the sector commenting that the sector was moving at "a pace not seen since 2014".
If you are looking to make your move to a new home, or you are thinking of purchasing a second home, a holiday home or a buy to let, contact the property team at Downs Solicitors to see how we can help.