You are here: Home - Mortgages - Buy To Let - News -

Sales of million-pound homes surge in this unlikely region

Written by:
Sales of homes worth a million pounds or over have shot up in an unlikely part of the UK: the East Midlands.

Million-pound property sales in the region rose by 67% year-on-year in the first half of 2018, from 24 to 40.

Meanwhile, sales in London fell by 8% from 3,940 in the first half of 2017 to 3,628 over the corresponding period in 2018, according to figures from Lloyds Bank.

Wales was also a top-performing region with a 100% increase in the number of million pound plus homes sold – from 9 to 18.

The biggest drop in sales of high-end homes was in the North East, which saw a 38% fall from 13 to 8.

Changes to stamp duty on second homes, introduced in 2016, are likely to have contributed to the decline in the capital, Lloyds Bank said. Sales in London peaked at 4,371 in the first half of 2014, dropping to 4,238 in the first half of 2016, continuing to decline in subsequent years.

Sarah Deaves, UK wealth director at Lloyds Bank, said: “The trend of a split across the country in the purchase of million pound plus homes continues, with the capital still experiencing a decline in the number of sales.

“Political uncertainty is likely to be influencing buyers’ decisions about investing in property in the capital, especially in homes at the higher end of the scale.

“London and the South East continue to dominate in overall share of high-end homes but the increases in stamp duty and capital gains tax for foreign investors have dampened demand in the capital, with more housing stock now on the market.”

She added that the picture outside London appears to be moving in a different direction, particularly in Wales and the East Midlands. This could be down to homes outside of the capital being less likely to be used for investment.

“The development of HS2 in addition to commuting links between the capital and Birmingham are also likely to be contributing factors to property investment in this region,” she said.

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

The savings accounts paying the most interest

If one of your jobs this month is to get your finances in order, moving your savings to a higher paying deal i...

Coronavirus and your finances: what help can you get?

News and updates on everything to do with coronavirus and your personal finances.

Everything you need to know about being furloughed

If you’ve been ‘furloughed’ by your company, here’s what it means…

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Money Tips of the Week

  • @YourMoneyUK All you need to know about the latest Current Account Switching winners and losers - hats off to Starl…
  • RT @WeareJust_PR: Many people struggling to make ends meet may not realise they are entitled to financial help or find the system too confu…
  • RT @WeareJust_PR: Many people struggling to make ends meet may not realise they are entitled to financial help or find the system too confu…

Read previous post:
NatWest launches £150 switch offer

High street bank NatWest is hoping to lure new customers with a £150 offer to switch to their current account.