The number of homes sold in London worth £10 million or more in Q4 2024 more than doubled compared to the same period in 2023.

This bucked the trend expected by analysts for the super-prime property market, following tax changes announced in the Budget last year. Whilst commentators anticipated these changes to impact the luxury home market, the capital’s global appeal remained intact, according to the latest research from Coutts’ London Prime Property Index, which analyses the city’s prime property market area-by-area.

Super prime activity was strongest in Kensington and Notting Hill & Holland Park, closely followed by Knightsbridge & Belgravia. In addition, Mayfair & St James’s and Hampstead & Highgate also saw strong super prime sales volumes.

Prime London: More sales and larger discounts

When it came to the prime property market, so homes worth £1 million or more, sales volumes rose 31.1% year-on-year and 15% above the 10-year average, demonstrating the market’s current resilience. Meanwhile, average discounts crept up to 8.9%, from 8.6% over the previous three months, with 76% of sales completed at values below the asking price.

Prices of million-pound plus homes remained stable compared to the previous quarter, but were down 2.9% on the same period in 2023. Prices are now on average 8.4% below the height of the market in 2014.

Katherine O’Shea, Coutts Real Estate Director, comments: “The appeal the UK capital provides to ultra-high net worth individuals from across the globe is wide-ranging and goes beyond financial reasons.

“A luxury home in London provides a range of lifestyle benefits for international buyers. Families value the education system, comparative security and vast public parks. And for those with business interests in London, they value the judicial system, the time zone, the language and international travel connections. London is an excellent place to do business.”