Property millionaires double

Permalink: Property millionaires double
by Kay Murchie

Research from estate agent, Hamptons International, has established that the number of UK property millionaires has almost doubled in the last 3 years.

Figures from the upmarket agent show that 12% of Hamptons properties were sold in excess of £1 million in 2005, increasing to 19% in 2007 and 21% in 2008.

The West Country, in particular Somerset, has experienced the largest rise in the amount of people looking for properties in excess of £1 million, with 134% as many applicants in the first quarter of 2008, compared to the first quarter of 2007.

However, while the number of property millionaires in London remains high overall, a year-on-year comparison across UK regions reveals a lower percentage increase in the number of new London property millionaires, when compared to other regions within the UK.

In the South East, those looking for properties over £1 million in the first quarter of 2008 is up by 27%. During the same period, London has only experienced a 6% rise.

Property prices have increased significantly over the last decade with properties sold at £3 million and above doubling year-on-year since 2005, with 3.5 times more homes sold over £3 million in 2008 compared with 2005.

John Little of Hamptons International said the figures highlight the demand for luxury properties across the UK today. Whilst the number of property millionaires continues to increase in the capital, we are seeing an increasing number of high net worth buyers looking further a-field. This has been growing year-on-year.

An address in London will always be a popular investment but exclusivity is hard to find and many £1 million plus buyers are now realising the benefits locations including the West Country can provide, added Mr Little.

Average house prices within the West Country are considerably lower than London, which means you can secure an outstanding country estate with several acres, for the same price as a penthouse apartment. Transport links to London and other major cities are excellent and Bristol airport now has flights running to New York, in addition to many major European destinations, concluded Mr Little.