Mortgages outside London top £500k
More homebuyers outside of London are taking out mortgages above £500,000, new figures from Savills reveal.
There was a 16% jump in new homeowners in the North with large home loans in the year to October compared to five years ago.
Savills said that 3,875 buyers in the North purchased a property with a mortgage worth more than £500,000, The Times reports.
While, the number rose 17% in the Midlands during the same period, 27% in Wales, Scotland and Northern Ireland. However, numbers dropped 2% in London and the South East.
You are seeing a growing accumulation of housing wealth in the North.”
Lucian Cook, Head of Residential Research at Savills (pictured), said: “Areas in the North, the Midlands and Scotland have shown growth in housing prices, while there is more downward pressure in the South and some other parts of the country.
“This means you are seeing a growing accumulation of housing wealth in the North, which has given some wealthy buyers the confidence to take on more mortgage debt.
“More latitude in how lenders apply affordability rules also means that more people are passing stress tests.”
Highest average
London made up nearly 23% of all £500,000 mortgages last year, with the South East 9.6%, East of England 6.9%, and the North 5.4%.
In Kensington and Chelsea the average home loan is £650,000, and in Westminster it is £500,999. Elmbridge in Surrey has the highest average outside London at £450,999.
Outside London and the South East, the highest average mortgage was £277,500 in Trafford, Greater Manchester, followed by £261,015 in Warwick and £252,749 in Bromsgrove in the Midlands.
The post Mortgages outside London top £500k appeared first on The Negotiator.
Author: Gemma
Discover more from Sovereign Prime Property
Subscribe to get the latest posts sent to your email.