Published: 26th February 2010


English buy record number of 2nd homes

English buy record number of 2nd homes
The number of English people owning second homes in England reached an all-time high in 2009, according to research by Knight Frank.

A 2.6% increase on the 2008 figure equated to an additional 6,212 second homes pushing the overall total to a record 245,384.

Liam Bailey, head of residential research at Knight Frank, said: “The number of second homes in England has been steadily rising over recent years.

"The recession and credit crunch saw this trend falter in 2008 – when the total fell by 912 (or 0.4%). The recovery in 2009 – with an additional 6,212 English second-homes, marked a return to long term growth.

According to Knight Frank there are four clear reasons for the upturn in demand for second homes:

 

  • Confidence - renewed economic and consumer confidence in early 2009 encouraged more affluent buyers to reconsider purchases they had put on hold in 2008.
  • Finance costs - very low interest rates encouraged demand from wealthy buyers.
  • Currency change - a weaker pound made house purchases in the Eurozone more expensive and encouraged buyers to look at second homes in the UK.
  • Investment alternatives – very weak returns on cash investments and nervousness over equity market volatility drove investors to consider property investment options again.
Liam Bailey added: “Wider social trends have been pushing the demand for UK based second homes over recent years.

"There is a perception of a “green” credential that attaches itself to holidays in the UK, in addition, the “localism” trend, popularised by programmes like River Cottage has also encouraged an exploration of more local holiday options.

Promotion: £100 of free sales leads


Halo Financial are offering our readers £100 of free sales leads on our marketing platform Lead Galaxy . Click here if you would like to know more.

Advertise here

Advertiser offers

Berlin Property 100% Finance

50:50 commission splits
Native English language owner

US property with mortgage finance

Opportunities in Atlanta in Florida
From $10k down - 12% commission