While pandemic has disproportionately hit younger potential homeowners, it has also accelerated a surge in million-pound first-time buyers, with the share of such purchasers doubling in 2020. One in 50 British first-time buyers spent £1m or more on their property in 2020, according to Hamptons International– double the 2019 share. All of the 10 local authorities with the highest share of million-spending first-time buyers were in the south of England. Overall in 2020, the average first-time buyer in Britain spent £253,700, £33,410 more than in 2019, and a year-on-year jump of 15% - more than double the 7.3% annual house price growth rate recorded in December. Hamptons suggested that low mortgage rates and a new desire for space, combined with concerned parents, a temporary tax break and a trend to move less often to avoid costs, mean those who can still afford to buy are paying far more money.
The Daily Telegraph (30/01/2021)