Million-pound homes increasing in number across UK property

Million-pound homes increasing in number across UK property

Few things are as indicative of the relative strength of the UK property market at the moment than the number of homes across the country that are selling for more than £1 million. 

In the last few years, this number has been rising time and again as the UK property sector continues to recover from the crash that occurred in 2007/2008, and according to the latest report released by Lloyds, the volume of million-pound properties is now at a record high. 

It said that in the first six months of 2014 alone, there were more than 6,000 homes sold for more than £1 million, which amounted to an average of 33 per day. This was 46 per cent higher than in the same period last year, when only 4,200 were sold for this price or higher. 

The biggest indicator of how the market has recovered comes when comparing this house price to the same period a number of years ago. Million-pound sales hit their lowest point in the wake of the financial crisis, with the volume of sales bottoming out in 2009. Since then, the number of properties bought for more than £1 million has increased by 345 per cent. 

"The number of homes sold for at least a £1 million is at a record high, with this sector of the housing market growing by almost a half in the first six months of this year compared to the same period in 2013," said Sarah Deaves, private banking director at Lloyds Bank.

According to Lloyds, the increase in sales of this level is down to the fact that investors are increasingly looking for prime stock, especially in London, where 70 per cent of all million-pound purchases took place in the first half of 2014. 

"Property values in prime locations have been boosted by growing demand from wealthy, and often cash rich, buyers from the UK and overseas," Ms Deaves concluded.