Property Prices Rise During First Quarter

Online, March 4, 2012 (Newswire.com) - The Savills' regional index provides statistics on homes that are valued over £1 million and shows a strong quarterly growth in other regions across the UK during the first part of 2012. The index also shows that in the first quarter of this year 43% of buyers were buying in other locations outside of premium London areas in premium residential areas within the Home Counties and other parts of the UK.

It is believed that sellers with higher premium properties valued at more than £1 million in London have been moving out of London to take advantage of cheaper properties in outer London areas and countryside areas. The properties outside of London are around 16-17%% cheaper than property prices five years ago and present good value for money for buyers moving out of London. Commuter belt areas outside of London have also shown a rise in property prices during this year's first quarter, including Guildford with a rise in house prices by 4% and Esher by 3.9%.

There has been no real decrease in average house prices in the South East, including new houses in Kent and new homes for sale in Essex. There has been a slight 0.3% increase for new homes for sale in Suffolk, and new houses in Norfolk in the East of England during the first quarter of 2012.

With the introduction of the millionaire mansion stamp duty tax of 7% by the Government on properties valued over £2 million, this will also have a knock-on effect on buyers who want to avoid paying this tax on more expensive London properties, and who would be saving money if buy a cheaper premium property outside of London.

Notes to Editors:
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