How many people are moving home in the UK?

How many people are moving home in the UK?

How can sellers take advantage of the current housing market? Tepilo analyses a report suggesting that the number of UK movers is at a ten-year high.

Political uncertainty and the prospect of Brexit don’t seem to have dampened Brits’ desire to move home in recent months. In fact, according to new research, the number of people moving home at any one time, has now reached its highest level in 10 years.

The number of UK home movers – those who are moving from one owned property to another rather than first-time buyers – increased by 2% to an estimated 370,300 in the past year, according to Lloyds Bank’s latest findings.

The upturn has been fuelled by low mortgage rates, high employment levels and a rising demand for homes, making it easier for movers to take their next step on the housing ladder.

The number of home movers reached a low of 315,000 in 2009 but since then the figure has grown by 18%. Such an active housing market sheds light on the increasing number of eager buyers who are ready to make their next move.

The steady increase in house prices over the last few years has boosted equity levels for many of the nation’s home owners – which is great news for those who are thinking of selling their property.

“Taking advantage of increased equity levels by putting down a bigger deposit can really make a big difference towards what home movers can afford and can be the difference between a good home and the right home,” Andrew Mason, Lloyds Bank mortgage products director, commented.

Moving trends have varied across different regions over the last year. Greater London, for example, was the only region that saw a decline in the number of home movers, with a 6% decrease to 22,600 movers last year. The South East had the highest number of movers overall (65,499), followed by the South West with 27,500 movers. Northern Ireland, however, had the lowest number of movers at 4,400.

The average price paid by home movers in the UK has grown 44% from £205,852 to £296,731 over the past five years. In the capital, the average price a homeowner pays has grown by 59% to £568,816 over the same period – the highest in the UK.  This amount is a whopping 40% (or £161,429) higher than the average price in South East (£407,386). The lowest average price paid was recorded in Northern Ireland at a total of £164,878.

The Home Mover Review also found that, for the first time, UK homeowners are choosing to pay an average deposit of over £100,000. It may come as no surprise that many Londoners are putting down nearly double this amount.

The average deposit put down by a home mover has increased by 45% over the last five years – from £69,089 to £100,387 – though the London deposit amount of almost £200,000 is four times the deposit required in Northern Ireland (£46,032).

However, while Londoners pay the highest deposit in monetary terms, home movers in East Anglia pay the largest deposit as a proportion of average house price at 37% (£110,321), followed by both the South East and South West (36%).

As we move through 2018, it’s expected to be another solid year for the housing market with a similar number of owner occupiers putting their properties up for sale and relocating to a new home.