News: UK has almost 500,000 property millionaires

Wed, 27 Aug 14

House price rises may be slowing in the UK, but the number of property millionaires is still on the up: there are now 484,081 owners of houses worth over £1 million, almost 50 per cent higher than last year,.

Zoopla’s latest Property Rich List 2014 shows that the 10 most expensive streets in Britain have seen property values grow 12.9 per cent over the last year, compared to the rest of the country where average values have risen by 6.6 per cent.

Unsurprisingly, many of these expensive streets are in London. Just under a third of the streets with average property values over £1m are located in the UK capital (3,744), while there are now a staggering 12 streets with average house prices over £10m, all of which are in London.

Once again, Kensington Palace Gardens is ranked the most expensive street, with an average house price of £42,730,706 – a staggering 162 times the value of the average British home (currently valued at £263,705, according to Zoopla).

W8 (Kensington) remains London’s most prestigious postcode, with average property prices in the area of £2.78m. Neighbouring SW7 (Knightsbridge), the next most expensive area in the capital, has average values of £2.48m, while property values in third-placed SW3 (Chelsea) stand at £2.37m. The rest of the top 10 is dominated by areas in South West, West and North West London.

While the capital city is the hub of wealthy home-owners, though, the growth in house prices has also seen the property millionaire population become more widespread: there are now 10,613 streets in Britain with an average property value of £1m or more, up 29 per cent on 2013.

Outside of the capital, the most expensive street in Britain is Sunninghill Road in Surrey, where the average home is currently worth £5,605,067. The two most expensive towns outside London are both in Surrey, with average house prices in Virginia Water at £1,186,262 and Cobham at £1,003,400.

Homeowners are aware of this rise in house prices, according to Knight Frank’s latest index. 28.9 per cent of the 1,500 households surveyed said their home’s value had risen in the month to August, with just 5.3 per cent reporting a fall. Knight Frank’s HPSI for August (61.8) marked the 17th month in a row where it has been above 50 (the threshold for positive sentiment).

While the country’s overall housing market may be improving (and, as the previously rapid rate of growth cools down, stabilising), the Zoopla rich list reveals the regional imbalance that is still present.

Lawrence Hall of Zoopla comments: "Prime properties in the capital have long been a magnet for the super-wealthy looking for a safe investment asset. For the lucky few who can afford these stratospheric price tags, the fabulous mansions on streets like Kensington Palace Gardens and the Boltons are offering very strong returns.

"However," he adds, "you don’t need to be a billionaire to get a chance to own the crème de la crème of property on offer. In Wales and the North East, you can still snap up a prime property in the region’s most desirable streets for little over £1 million."

See also: House prices by town and postcode

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