Record Surge in £1m+ Homes Across the UK

The UK has continued to see strong growth in the number of £1m-plus houses, with 3,127 homes reaching the million-pound milestone last year, Savills data shows. This means that Great Britain now has a total of 702,580 property millionaires, a rise of 34% over the last five years.

A Shifting Market Landscape

Even with economic ups and downs and increasing borrowing costs, one in 42 UK homes is now worth more than £1m. Although pandemic-fueled rural and suburban expansion has slowed, the return-to-work trend has rekindled demand for city living, especially in London.

Lucian Cook, Savills' Residential Research Head, said: "After a period of price correction, the £1m market started growing again in 2024. However, affordability constraints have kept the gains outside the capital back, whereas 5,000 new £1m houses joined the capital's market last year."

London Leads the Surge

London experienced the largest rise in million-pound homes, to a record 349,068 properties, or one in every 11 homes in the capital. Regional growth was led by the North East, which rose by 5.5%, while the West Midlands gained 918 property millionaires due to demand from buyers relocating in from more expensive areas.

Investment Opportunities

Hot Spots in Demand – Reclaiming fashion among city centres could see investors turn a profit by concentrating on London and well-linked commuter belt towns.

Sliding Mortgage Rates – Cutting rates recently could tempt more buyers, placing more pressure on high-price homes.

The Education Gap – Good schools are still behind demand in places such as the West Midlands, where housing is relatively affordable in comparison to London.

What's Next?

As second-stepper confidence rises and mortgage rates ease, £1m property levels will rise and rise. Long-term capital growth seekers will want to watch for local patterns, particularly in commuter belt locations with strong demand drivers.

For more UK property investment news and views, watch out for Magnate Assets.