
James Mackenzie, Head of the Country department at Strutt & Parker, believes that the prices at the top end of the UK country property market have bottomed out.
James Mackenzie, Head of the Country department at Strutt & Parker, believes that the prices at the top end of the UK country property market have bottomed out.
Over the past 4-5 years, the London housing market has out-performed the countryside in terms of prices. Values of mid and higher range homes in the capital have risen to nearly 16 per cent above their peak level in 2007, while properties in prime regional markets are on average about 16 per cent below their 2007 height.
One reason for this is that London retained the strong residential investment it had been enjoying from the UK and overseas. The market crash saw country houses lose value in almost every area of the UK, whereas London prices were more resistant. The economic insecurity during this time meant city dwellers delayed moving to the country, especially given that the value of their London property was rising.
James Mackenzie believes: "Now is a fantastic time to think about buying a country home. Sellers who have played the London game can now achieve a healthy profit to fund their rural dream. With Spring in full flow, the recovery in the country house market is becoming more and more evident. The market has bottomed out and there is now only one way forward - up. The essence of it is demand demand demand! There are so few quality houses available at the top end of the market. The really good ones are few and far between"
Sellers who have waited to sell a prime London property have seen this decision pay off - due to an overall 32% gain since March 2009. As people stayed in the capital supply was restricted and a bottleneck created. The London market picked up over Christmas and the usual ripple effect has started earlier than usual due to the good weather and buyer's willingness to get on with life rather than sit on the fence.
Michael Fiddes, Head of Agency at Strutt & Parker adds: "People are starting to look again to the country market, especially those with expanding families and individuals seeking fresh lifestyle changes. The demand is further boosted when people know they are getting good value for money".