The number of million pound homes sold in the UK soared by 73% in a decade while two regions in the north of England experienced ‘exceptional’ growth in this market last year.
House price data from Lloyds Bank Private Banking revealed in 2017 the market for homes worth £1 million or more grew by 5% compared to the previous year.
And the places which saw the biggest growth in year-on-year sales were Yorkshire and the Humber, with 60% more £1 million properties being sold in 2017, and the North West where the market increased by 46%.
In the West Midlands, £1 million house sales increased by 28% in 2017. But in neighbouring East Midlands, million pounds home sales fell by 23% last year. This was the only region where sales in this market decreased.
But it was the data over the past 10 years which showed the most dramatic changes to the top end of the property market. Lloyds’ figures revealed million pound house sales in Great Britain had soared by 73% since 2007.
This included a dip in 2012, when the market experienced a poor year for sales. Indeed the first half of 2017 saw a 1% fall in £1 million plus house sales, but strong performance in the second half prompted a recovery.
Louise Santaana, head of UK wealth lending at Lloyds Banking Group explained: “Overall, 2017 was slow for the UK economy, with high inflation and low wage growth.
“But high end homeowners and investors in many parts of Great Britain are starting to regain their confidence in the market, with exceptional growth seen in Yorkshire & Humber and the North West of England.”
London was the part of the UK which experienced the highest number of transactions in the million pound market last year. But Lloyds figures revealed that growth in the high-end market had begun to slow in the capital.
Santaana thought, with this area of the market is represented strongly by overseas investors, the effects of Brexit could be putting many off from buying.
She added: “2018 will be an interesting year for the million pound property market. With the Government consulting on ways to improve the house buying process, we should see high end homeowners more empowered to engage in property transactions.
“However, the high cost of stamp duty may be an ongoing deterrent in the top end of the market, particularly for those who are looking to invest in property in order to make money, as opposed to buying a home.”