The London exodus to larger homes out of the city may not be the main driving force behind a rise in demand and price for detached properties, according to new data.
The latest research by Ascend Properties has revealed that it is, in fact, the property market in the North West that’s leading the lockdown, detached property price boom.
The firm analysed sold price records since lockdown was implemented on the 23rd March 2020 and February 2021 (latest available data), as well as during the same time period prior to the first lockdown, to see what impact a scramble for larger homes has had on the prices paid by buyers.
The research shows that across England, the average price paid for a detached house has increased from £349,995 to £375,000 since the start of lockdown, a 7.1% increase. At the same time, sold prices for all other property types have increased by 5.7% from £210,000 to £222,000. 1.4% less than detached homes, but respectable none the less.
Much has been made about London homebuyers looking to the capital’s peripherals and beyond for larger homes, but the research by Ascend Properties shows that it is the North West where this trend is impacting sold prices to the greatest extent.
Prior to lockdown, detached houses sold for an average of £280,000 across the North West, while other property types averaged £147,000 - a gap of 90% in bricks and mortar value. However, since lockdown detached homes in the North West have sold for an average of £299,995 compared to £153,000 for all other property types, meaning this price gap has now stretched to 96%.
What’s more, detached homes across the North West have increased by 7.1% in value since lockdown, the highest increase of all English regions. At the same time, the price paid for all other property types has increased by 4.1%. The 3.1% gap between the two is also the highest across all other English regions, further highlighting the detached property price boom currently being seen across the region.
The South West ranks second, with detached homes up 6.8% since lockdown, 2.3% more than the rest of the market. Yorkshire and the Humber has also seen one of the biggest uplifts in detached property prices when compared to the rest of the market, with an increase of 5.4% coming in 2% higher than the uplift enjoyed across the rest of the market.
London does rank fourth however and while detached house prices are up 6.1%, which is a higher rate of growth than Yorkshire and the Humber, it’s just 1.8% ahead of the property price growth seen across other property types in the capital.
Ged McPartlin, Managing Director of Ascend Properties, commented: “There may well be an exodus of homebuyers leaving the capital in search of larger homes, but the figures show that the North West is actually leading the way where this trend is concerned.
"Not only does the region rank top for detached property price growth since lockdown was first implemented, but detached homes are also pulling away from the rest of the wider market in terms of the rate of price appreciation.
"That’s not to say that other property types aren’t selling well and, in fact, there has been strong growth across the board. However, with more buyers searching for larger homes it does present a good opportunity for first and second rung buyers who should be able to find a flat or smaller home for a good price now that there is less competition.”