REsidEnTialsales
A second home
is where the heart is
Times are tough. Repossessions are rising, unemployment is
up. In this economic climate, you might think the second
home is a luxury no-one can afford. By Andrea Kirkby
ou’d be wrong. The second
Y
home market is in better
health than it has been for a
while. Karen Clark, personal
tax partner at accountants
Baker Tilly, says that there
were 241,000 households with UK second
homes in 2006-7, according to council tax
records. That number had grown 40 per
cent over the last decade. That’s excluding
second homes abroad, which have more
than doubled in a decade and stood at
248,000 in 2006-7. Savills, which tracks
second homes through its branch network,
says growth continued in 2007-8, at 2.6 per
cent – slower than before, but still
increasing the total.
However, Lucian Cook at Savills says the
market for second homes has changed.
£595,000
Traditional hotspots have seen low, no or
negative growth in the number of second figure. Devon and Cornwall seem to have
Newmarket, Suffolk
homes, while less traditional areas are done particularly badly.
becoming more popular. For instance, the In some areas, such as Salcombe and Savills are marketing this ‘elegant,
number of second homes in the South Rock, second homes represent over a third refurbished and skilfully extended
West and East Anglia grew only 0.7 per of the market – and that leaves them thatched property overlooking The Darley
cent, way below the average 2.6 per cent looking vulnerable. South Hams and North Stud’ at £595,000
Norfolk both have high rates of second
home ownership, at over 9 per cent – and The laws of supply and demand appear to
saw declines in the number of second work well in this case – prices have fallen
homes of 5.99 and 3.4 per cent respectively. fastest in some of the ‘losing’ hotspots.
Not all of the decline in second home Prices in Devon fell by 24 per cent, and in
ownership is due to owners selling up Cornwall by 21 per cent.
and moving back into the city, though. Lucian Cook says, “I’m not surprised at
An increasing number of second the price declines in some traditional
homeowners appear to be selling up in markets. It relates to the percentage of
town and making the second home their second home ownership and the extent to
new main residence. which the local market depends on it. If
£2,250,000
Other, less traditional areas for second you turn the tap off in terms of buyers,
homes are becoming more popular. that’s going to have a severe impact.” Areas
Salcombe, Devon
Scarborough and Berwick upon Tweed, as that were mainly driven by City bonuses,
well as Chichester, are seeing an increase in such as around Exeter have suffered badly.
Savills only have one property on the the number of second homes. On the other hand, areas which are
market in this area – but it’s a stunner – Savills interrogated local offices on the commutable from London appear not to
six bedroom penthouse with direct water prices of those properties which agents have seen such bad declines in price. Mark
access, a snip at £2,250,000 knew had been sold as second homes. Oliver, head of Savills’ Ipswich office,
34 JULY-AUGUST 2009 PROPERTYdrum
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68 |
Page 69 |
Page 70 |
Page 71 |
Page 72 |
Page 73 |
Page 74 |
Page 75 |
Page 76