Editor's note: This brief was summarised by The Property AI Newsroom from a report by PropertyWire. Read the original article for full details.

Northern England Property Sales Overtake London for First Time in 20 Years

Property sales in Northern England have exceeded those in London for the first time in two decades, according to research from Savills. In the 12 months to the end of March, the total value of homes sold across the North reached £68.8 billion, surpassing London’s £67.9 billion.

This marks the first time since Savills began tracking the comparison 20 years ago that the North has outperformed the capital. London accounted for 17.2% of all house sales in Britain during the period, the lowest proportion recorded since at least 2006.

The shift reflects a broader trend that has accelerated since the Covid pandemic, with house prices and transaction volumes growing faster outside London. The research notes that price inflation in London over the past decade has left the market more vulnerable to interest rate rises and created barriers for first-time buyers.

Buy-to-let investors who remain active in the market have redirected their focus to the North, where rental yields are higher. The absence of significant price growth in London in recent years, particularly for flats, has made it more difficult for existing homeowners to move up the property ladder within the capital.

London’s prime property market has also been affected by Stamp Duty increases and measures to abolish non-dom status. These factors have led some wealthy households to choose renting over buying, contributing to recent challenges in the London market.

The findings indicate a significant shift in the UK property landscape, with regional markets now offering stronger transaction volumes and potentially better returns for investors, especially in the buy-to-let sector. Affordability constraints and policy changes are reshaping where property transactions occur and how investment capital is deployed across different regions.