Londoners have bought £30bn of property in other parts of the UK over the past year as record numbers of locals leave the capital, new figures show.
The amount spent on new homes elsewhere by the capital’s residents reached a 10-year high in 2018, according to estate agents Hamptons International.
The figures suggest Londoners may be seeking better value for money or quality of life in other parts of the UK, swapping the capital’s overheated property market for cheaper areas.
London residents do not appear keen to stray too far, with the data suggesting 7 in 10 bought their next properties in the south-east and east of England.
But the number of Londoners heading to the Midlands or northern England has also gradually increased, from just one in 14 who left the capital in 2008 to one in five today.
Yahoo Finance UK previously reported how the north-west had the highest rise in property prices last year at 4.9%, followed by Yorkshire and the Humber at 4.4%.
The British cities with the fastest-growing markets in 2018 were Newport, Glasgow, Edinburgh and Manchester.
Official figures released earlier this year showed record numbers of Londoners were deserting the capital, with the exodus most pronounced among people in their 30s and 40s with children.
More than 330,000 London left the city in the year up to June 2017, with Newham in east London recording the greatest outflows of any London borough.
So many Londoners have moved to or bought second homes in regions like Cornwall and several towns on the southern coast that they are known as Down from Londoners or DFLs, with some locals resenting the impact on property prices.
The latest Hamptons International report shows the amount spent by the average London buyer outside the capital rose in 2018 to just under £399,000.
Aneisha Beveridge, head of research at Hamptons International, said: “Historically most people moving out of London have done so because of changing priorities, such as starting a family or generally wanting a slower pace of life.
“But increasingly as affordability in the capital is stretched, more households are looking beyond the confines of London to buy their first home.”
But she said the 2018 figures were probably a peak, with a slower housing market expected to push down purchases in the year ahead.
The property market has already begun to cool in London, with the latest official statistics showing prices were down 1.7% in October on a year earlier.
Homes are now cheaper in the capital than they were two years ago, with an average purchase price of £473,600.
But the city’s average prices remain incredibly high, with the average London home still costing £206,000 more than a decade ago – a steep rise of 77%.
Source: Yahoo Finance UK