Values for prime country houses have risen by 4% – the seventh successive increase month on month. The West Midlands and Wales have seen the highest levels of growth, up by 2.7%, compared to prime London where values dropped to their lowest point (-3%) since 2004.
The worst areas hit in the English capital are west and south west London (down 4.9%) and central London was down 4%. However, Pimlico is the notable exception, with prices up by 8.3%.
Although sales values have dipped in London, it is believed the country market is being buoyed up by a lack of stock.
Prices have increased month on month this year, and have gone up by 0.43% since June with properties on the market now priced 5.6% higher than this time last year.
‘Prime country sale prices continue to defy the market doom and gloom, showing its seventh successive increase month on month with 0.43% growth in July,’ says Mark Milner from Primelocation, who produced the research covering the month of July.
‘The country market continues to be bolstered by vendors refusing to reduce asking prices and a lack of stock.’
However, overall growth for country property in August will depend on the performance of the regions. It remains to be seen whether key growth regions in July will continue to see sales values rise, or whether sellers will be forced to reduce prices to achieve sales, says the report.
‘With the majority of market speculators believing the market is going to get worse before it gets better, sellers might feel lowering the asking price and achieving a sale now could prevent further loss if forced to sell later,’ the report concludes.