Pandemic leads to leap in second home purchases by London-based buyers

There was a jump in London-based buyers purchasing second-homes in the country in 2020, as individuals sought more space away from the capital during the pandemic.

The number of London-based buyers that purchased a second home outside the capital increased by 309% in 2020 versus 2019, as part of the escape to the country trend that saw record activity in the market in 2020.

The number of London-based buyers as a proportion of all second-home sales outside the capital also increased. In 2019 they made up 13.4% of the total but this increased to 34.6% in 2020.

Second-home purchases in the country were up by 58.5% in totality in 2020 versus 2019.

The increase was driven by several factors including London residents choosing to downsize and make the most of the strong market in recent years, and those that had decided to bring their plans forward to relocate to the country but wanted to retain property in the capital. London-based families looking for more space, including the ability to better host extended family during lockdowns, were also active in the market.

“I’ve never known as much interest in the country, and we’ve seen strong demand from London-based buyers. Ultimately, it was all about having a safe haven outside the city,” said Jonathan Bramwell, head of Knight Frank’s independent buying consultancy The Buying Solution.

“Many families are also of the view that they will likely undertake less international travel in the future, so they have wanted to secure something to enjoy in the UK,” he added.

Sales in the country market were up 11% last year compared to 2019 as people sort an escape from the city. This led to the largest annual increase in county house prices in six years.

However, the traffic is not all one way, with prospective tenants making the most of the largest decline in rental values in a decade to realise their ambitions and move into central London.

Photo by Ivy Barn on Unsplash