2022-07-20-莱坊-UK_Prime_Country_House_Index_Q2_2022_2页_230kb

Focus: Analysis of the Knight Frank Prime Country House Index (PCHI) for Q2 2022, highlighting trends and factors in the UK country property market.

Key Findings:

• Average quarterly price growth in the country market was 0.7%, contributing to an 8.2% annual increase, down from 11.3% in the previous quarter.
• Price growth slowed overall due to buyer caution amid rising living costs, but supply improved as inventory normalized after pandemic-driven shortages.
• The country market outperformed prime central London (PCL) in recent growth, with average prices reaching new highs, closing the performance gap for the first time since early 2020.
• Demand softened as reflected in the RICS UK Residential Survey (net balance of -27% for downward price expectations), but remained resilient, with low inventory supporting prices.
• Factors include post-pandemic shifts in demand for space and greenery, which initially drove growth but led to market cooling as buyers became more price-sensitive ahead of potential interest rate hikes.

Insights: The market showed signs of normalization after a boom period, with improved supply and reduced buyer urgency, but underlying demand fatigue and economic uncertainties persist.