Vendors realised £103,000 on property sales last year says Hamptons
Despite falling prices more than nine out of 10 sellers still sold their home for more than they paid.
The average household in England and Wales who bought within the last 20 years and sold in 2023 achieved £102,650 (48%) more than they paid for their property, research from Hamptons reveals today.
Despite falling prices – the figure is down from a record £112,930 in 2022 – more than nine out of 10 (93%) of sellers still sold their home for more than they paid.
SLOWER HOUSE PRICE GROWTH
Slower house price growth in the capital over the last few years has meant that in percentage terms sellers in Wales are now making bigger gains than Londoners.
Sellers across the country made smaller gains in 2023 than those who sold in 2022 when house prices peaked.
Despite this, the average household in England and Wales who bought a property within the last 20 years sold it in 2023 for an average of £102,650 more than they paid, the second-highest figure on record.
Collectively, this means 2023 sellers realised a £103 billion uplift in value between what they paid for their home and what they sold it for.
However, the average gross profit fell by £10,300 or 9% compared to those who sold in 2022.
MORE THAN PAID
Aneisha Beveridge, Head of Research at Hamptons, says: “Despite falling house prices last year, 93% of households still sold their home for more than they paid, netting themselves just over £100k on average.
“These proceeds are mostly reinvested back into the housing market and go towards the purchase of another home, so they’re rarely realised in cash terms.
“However, the numbers illustrate how the scale of historic price growth sheltered movers last year, freeing up cash to cover moving costs.”
She adds: “Double-digit house price increases since Covid have meant households moving within two years can achieve a higher price than they paid. Historically these are people moving due to a change in circumstances.
“However, the spike in the share of households moving within two years goes beyond that and suggests an unwinding of ’the race for space’. Most of these sellers are selling larger homes in the country, often in favour of a move back to the suburbs or city.”
