Prime central London house prices appear to have plateaued in recent weeks, failing to recover from the quiet pre-general election period - now it appears the country house market is following suit.
Knight Frank says that despite the certainty provided by a majority government elected on May 7, activity and prices in the prime country house market have been “subdued” ever since.
Average values rose by 0.9 per cent between April and June, dipping the annual rate of growth for high-end rural properties to 2.3 per cent with the blame being put firmly on the stamp duty reforms introduced by George Osborne back in December.
“Whilst the surprise election result brought certainty to the property market, the anticipated increase in activity has not fed through yet” according to Rupert Sweeting, head of Knight Frank’s country department.
He says this may be down to vendors and purchasers having put their moving plans on hold prior to the election; if so, he believes the traditional high-end country sales period will be delayed, and should be seen during this month and August.
“This has happened more and more in the last two years contrary to the usual downturn in activity in the traditional holiday months” he says.