High-end countryside properties valued at £5 million and above recorded the strongest growth of any property type in the three months to June.
According to Knight Frank, this is due to the increased interest in country living as a result of the coronavirus pandemic and the greater ability of high-end buyers to purchase properties.
During the second quarter of 2020, growth of 1.2% was recorded in the high-value country house market. This is despite the property market being closed between late March and mid-May.
Knight Frank says that the increased demand for outdoor space and greenery offset the impact of Covid-19 on the country homes sector of the market.
The global property consultancy’s analysis of offers outside of London between May 13 and June 24 show that the £5 million to £10 million price bracket has rebounded more quickly than the rest of the market.
The number of offers accepted was 182% higher than the five-year average, compared to 64% for all price brackets.
On top of this, the number of new prospective buyers for £5 million-plus properties in country markets was 137% higher than the five-year average over the same period. Meanwhile, the rise in prospective buyers across all price brackets was recorded at 52%.
“People are sensing an opportunity now,” says Edward Rook, partner in Knight Frank’s Country Department.
“In the previous three or four years there have been consistent bumps in the road and the clear water people were looking for never came. We had that at last after the general election and then the lockdown came. People have simply decided it’s now or never.”
Chris Druce, senior research analyst at Knight Frank, adds that high-end buyers have been ‘willing and able’ to move quickly to secure properties as lockdown restrictions have been gradually eased.
“The relative scarcity of homes available at this price point can spark competitive bidding, which has put a degree of upwards price pressure at this end of the market,” he says.
This post has originally been featured in Property Investor Today.