London exodus to rural Yorkshire

Savills say that despite an uncertain economic backdrop, the property market in Yorkshire and the East Midlands has been buoyed by an increase in demand for country living that has contributed to a remarkable recovery in the UK’s prime residential market since the reopening of the housing market in England on May.

Activity fell by 72 per cent in April but in the week ending June 21, the number of agreed sales for homes valued over £1m were 48 per cent higher than the weekly average for June 2019, according to latest data from TwentyCi.

“Market activity has been buoyed by pent up demand, in part at least, but we have been surprised at the extent to which lockdown has made people reassess their housing needs and, more pertinently, act upon it,” says Lucian Cook, head of residential research at Savills. “This said, buyers appear to be keeping their feet on the ground when it comes to what they will pay, meaning sellers must retain realistic price expectations if this momentum is to be sustained.”

Eight out of ten Savills agents reported increased demand for village homes and 90 per cent greater demand for country locations. All offices reported an uptick in buyers from London with almost a third of new applicants in the country coming from London compared to a fifth last year.

James Abbott, head of Savills residential sales in Yorkshire and the East Midlands, says: “We have noticed a tremendous increase in buyer commitment compared to before lockdown, particularly from London buyers.

“The increase in demand for village and rural properties comes at a time when they look pretty good value as their price growth has lagged behind urban counterparts over the past decade. We now expect this price gap to close.”