There has been a marked recovery in the £2 million+ country house market, according to estate agency Strutt & Parker.
The firm says the recovery has taken place during the last two quarters, with transaction levels now close to those recorded at the end of 2014.
It suggests that the uncertainty which affected this specific market in the lead up to May’s general election has now ‘filtered out’.
The agency predicts that country house market growth in the final quarter will be strong enough to hit its forecast of 5% growth for 2015.
Growth for 2016 has also been forecast at an annual rate of 5%.
Strutt & Parker warns, however, that the EU referendum and the prospect of interest rates rises could have an effect on the market in the next 12 months.
“The prime country house market is showing signs of improvement with a lack of high value property on the market and growth in demand over the quarter. However, buyers are incredibly price sensitive as the cost of stamp duty is still a major hurdle. We are hopeful for a normalised autumn and winter,” observes James Mackenzie, Head of the Country House Department at Strutt & Parker.
Guy Robinson, Head of Regional Residential Agency at Strutt & Parker, adds: “Activity in the summer and early autumn months has shown encouraging signs of an improving market. Last quarter, there was strong demand from buyers which has translated into agreed sales. The number of new instructions has remained static, consistent with the previous period.”
