Prime property buyers becoming price conscious
Predictions for the evening out of the prime property market across
the UK, in which the north-south divide was forecast to close
significantly in the first half of the year have proven premature
as more regional buyers become price conscious.
Savills has said that the growth of price of purchasing prime
properties was supposed to slow in London while growing elsewhere
in the first six months of the year.
However, while they accelerated by a full 4.8 per cent in London,
negating the predicted effect of the mansion tax announced earlier
this year, prices outside the capital have risen by just 0.3 per
cent in the same timescale.
The company said that nearly 23 per cent more money had been spent
in London's prime market throughout the period on 2013.
Lucian Cook, director of residential research with Savills, said:
"This is not to say that the tax changes for £2 million plus
property have not had an impact. The total amount spent in the
market on £2 million property fell by 15 per cent between 2011
and 2012 to £16.7 billion."