Sales of UK Country Houses Rise as Buyers Take Advantage of Lower Prices

Sales of high-value country houses in the UK have increased, suggesting a potential recovery in demand as buyers are attracted by falling prices. According to Knight Frank, the number of completed sales for rural properties worth over £750,000 rose by 7% in June compared with the same period last year, driven by an uptick in the number of available properties and price adjustments.

A significant factor behind this increase is the role of second-home owners, who are bringing more properties to market. Recent council tax changes designed to benefit local residents in popular holiday areas are encouraging second-home owners to sell. Councils in Wales can now impose quadrupled taxes on second homes, while those in England are allowed to double them. This has contributed to a 9% increase in the number of country houses listed for sale in the second quarter of this year.

James Cleland, head of the country business at Knight Frank, stated that the current market is heavily influenced by pricing strategies. He explained that where asking prices are set realistically, buyers are showing strong interest. June was particularly active, with deals being agreed across a variety of price tiers, positioning the market for even higher levels of activity in the coming months.

Country house prices, however, continue to correct. Reports indicate a 3.5% drop in average prices during the three months to June 2025, accelerating from a 1.6% decline in the year to March. Factors such as stock overhang from March’s stamp duty changes and renewed buyer activity following last year’s political uncertainty have contributed to the market shift.

The housing market has also seen a shift in negotiating power. During the height of the pandemic’s “race for space” trend, there were nearly 19 potential buyers per new property listed. That ratio has now dropped to 5.9, marking the most favourable market conditions for buyers since 2018 when Brexit-related market uncertainty was at its peak.

Knight Frank has concluded that the current landscape represents the strongest position for buyers in rural property for the past seven years, underlining the adjustments in pricing and stock availability across the sector.