Mil­lion-pound home boom in Mid­lands

The Sunday Telegraph - - News - By Katie Mor­ley CONSUMER AF­FAIRS ED­I­TOR

IT MAY not be a re­gion renowned for glitz and glam­our but the East Mid­lands is emerg­ing as an un­likely hot­bed for mil­lion-pound homes, fig­ures sug­gest.

Sales of homes worth £1mil­lion or more rose by 67 per cent in the first half of last year, up to 40 from 24, as the num­ber in London and the South fell, data from Lloyds Bank re­vealed.

It showed a widen­ing re­gional di­vide in sales of mil­lion-pound homes, with the East Mid­lands and Wales emerg­ing as hotspots, while Brexit un­cer­tainty seemed to be putting off in­vestors in London prop­erty.

Over the same pe­riod there was a dou­bling of mil­lion pound homes sold in Wales dur­ing the first half of 2018, up from nine in 2017.

Mean­while, the sale of mil­lion-pound homes in London con­tin­ued to fall – by 8 per cent from 3,940 homes in the first half of 2017 to 3,628 in the first half of this year. The cap­i­tal’s mar­ket share of such homes also fell to 57 per cent, down 3 per cent from 60 per cent in 2017.

Changes to Stamp Duty on sec­ond homes in­tro­duced in 2016 are a likely con­tribut­ing fac­tor. Sarah Deaves, of Lloyds Bank, said: “The pic­ture out­side London seems to be mov­ing in a dif­fer­ent di­rec­tion. It could be they are less likely to be used for in­vest­ment, with pur­chasers buy­ing prop­er­ties to live in.”

Mean­while Which?, the consumer group, re­vealed that nearly half of home­own­ers with a mort­gage said they had lately been mak­ing over­pay­ments to be mort­gage-free sooner. Young own­ers with decades of pay­ments ahead of them were par­tic­u­larly likely to have been mak­ing over­pay­ments, with poor in­ter­est rates from sav­ings ac­counts pos­si­bly driv­ing the phe­nom­e­non.

Newspapers in English

Newspapers from UK

© PressReader. All rights reserved.