Londoners are leaving the capital in droves to avoid soaring property prices, according to a new report from estate agency Hamptons International.
Estate agents have found that the value of properties bought outside London is now the highest since 2007.
Londoners have bought a total of £30bn worth of property outside the capital this year. In 2007, the total amount reached £37 billion.
Those who have left the capital’s high real estate prices remain in the south of the country. Around 77% left London for the south-east, south-west and east of the country.
House prices in London have fallen over the years, but property remains the most expensive in the country. The average property price is £398,910.
Property prices are the biggest draw for many Londoners, but it also slows down the pace of life.
Aneysha Beveridge, head of research at Hamptons International, said: “Historically, most people who have moved out of London have done so because of changing priorities, such as starting a family or generally wanting a slower pace of life. “I have done so since then,” he said.
“However, with affordability in the capital increasingly reaching its limits, more households are looking outside the confines of London to buy their first home. For many, this means It means moving further afield to areas where you can get more for your money, such as the Midlands or the North.”
“While the number of people leaving London has increased this year, 2018 is likely to be the peak. Due to the slowdown in the housing market in 2019, fewer Londoners will buy a home outside of London than in 2018. “It’s very likely,” she added.
House prices are expected to remain stagnant into the new year, according to a report released earlier this month by the Royal Institute of Chartered Surveyors (RICS).
RICS economist Tarrant Parsons said uncertainty around Brexit was causing “additional hesitation” in the property market.
“However, the current political environment is not the only impediment to activity, as inventory shortages continue to leave buyers with limited options, while affordability has reached its limit and many people are lowering prices.”
