Average house seller in 2021 ‘gained £95,000 more than they paid for property’
Those who had bought their home within the past 20 years sold it for £95,360 more than they had paid on average, according to estate agent Hamptons.
This was up from an average £83,550 gross gain in 2020.
Those selling detached homes last year gained £151,840 on average, while those selling flats made £54,690 typically in 2021.
One in five (19%) flat sellers in 2021 made a loss on their property compared with just 4% of detached house sellers, Hamptons said.
London sellers continued to make the biggest gains, but weaker price growth in the capital meant last year was the first time since Hamptons’ records started in 2015 they made a gross gain less than £200,000.
People are also moving more often, perhaps prompted by lifestyle changes caused by the pandemic.
Nearly two-thirds (64%) of sellers last year sold their home within a decade, compared with 59% of sellers in 2019.
Aneisha Beveridge, head of research at Hamptons, said: “Soaring house price growth over the last 18 months has driven up the amount of money homeowners have made.
“But while owners of larger properties have benefited from buyers looking for more space, flat owners have seen weaker returns.
“House price gains are primarily driven by two factors – the length of time people have owned their home, and the point at which they bought in the housing cycle.
“Typically, homeowners who have owned their properties for longer have seen more price growth and therefore made bigger profits – although most of these profits are never seen by sellers as they are reinvested back into the housing market when they make their next purchase.”
Here are the average seller gains amongst those who sold their properties last year, according to Hamptons:
– London: £197,730
– South East: £121,740
– East: £109,980
– South West: £90,070
– East Midlands: £68,420
– West Midlands: £68,190
– Wales: £57,490
– North West: £56,910
– Yorkshire and the Humber: £53,960
– North East: £28,960