First-time buyers spent slightly less, averaging £318,000 on their first home outside London, but stayed a little closer to the capital (21.9 miles on average) than owner-occupiers moving out. Investors, on the search for greater yields, together with second home purchasers bought the furthest away at 108.7 miles and 96.2 miles respectively.
Southern England proved to be the destination choice for the majority (75%) of London buyers, while 41% bought in the South East and 27% in the East of England. Three in five London leavers moved to a small town or suburban location, while a third headed for the countryside. Just 8% bought in another city, more than a third of whom were investors.
It’s worth noting that while London now attracts more buyers from outside the capital than pre-pandemic, the numbers are still low relative to those leaving, meaning London’s population is likely to fall this year.
As for Londoners buying outside the capital, Hamptons research calculates that by the end of this year they will be responsible for purchasing 108,000 homes. This will mark the first time that this figure has surpassed the 100k mark since 2007, a year when nearly 1.7 million homes were sold across Great Britain.
But given many Londoners have bought forward moves, and overall activity is predicted to slow, Hamptons’ also expect this number to fall back over the next few years. Although next year is still likely to sit above the 72,000 average we saw in the three years leading up to the pandemic.