The figures are in. According to Largemortgageloans.com, a large loans specialist mortgage broker, £1m property sales in Great Britain fell by a whopping 41% in 2008. Figures in 2007 indicated that 9,003 £1m properties changed hands in the country, while in 2008 the total was 5,302.
It seems that Britain’s millionaires are either sitting tight, or else they too are suffering from the global recession. Our bet of course is the latter. While the figures certainly speak their own language, overall they only accounted for 0.7% of all property sales in the country last year – a mere drop in the ocean.
The biggest impact was seen in the regions of London and the North West while Scotland and the North East battled on in true warrior style.
Perhaps the swanky London addresses are no longer a desired piece of a property investor’s portfolio these days.
In an interview managing director of Largemortgageloans.com, Paul Welch stated: “The credit crisis has hit millionaires hard but if you have cash in your pocket, then now is a good time to buy property.”
Despite the overall price falls of properties in Britain, there are some signs of a market recovery if we are to believe Nationwide who said the average cost of a home increased 1.2 per cent in May, pushing average values up to £154,000.
Chase Devonshire even stated that Britain’s property market was on the up not so long ago while Stride reports that “we are not home and dry yet”.
Photo credits: Jones via Flickr