Owning a lavish country pile where you can escape from it all used to be a dream held by many Britons.
However, we appear to be ending our love affair with these once sought-after properties thanks to colossal upkeep costs and the fear of tax hikes on expensive homes in the upcoming Budget.
Off the record, estate agents describe a market devoid of buyers. Home sellers are left waiting in faint hope not just for an offer, but for a single viewing.
One estate agent says they are even telling some owners not to bother putting their homes on the market at the moment, such is the state of the market.
While average property prices are up 1.9 per cent compared to a year ago, according to Halifax, the values of large country houses have plummeted.
According to estate agent Savills, values across the prime country market – what it defines as the most expensive 5 to 10 per cent of rural homes – have fallen in value by 8.1 per cent on average over the past 12 months.
That does, however, mean there is an opportunity for a bargain for brave buyers, with examples of rural manors being reduced by hundreds of thousands.
Big falls: In the prime country house market, values are down 8.1% on the year
Higher rates of stamp duty alongside new fears of council tax reform, mansion taxes and the potential introduction of a capital gains tax on all homes selling for more than £1.5million have formed dark clouds over the country house market.
Jennie Hancock, founder and director of West Sussex buying agency Property Acquisitions says that in her area, prices are down as much as 20 per cent compared to the market peak.
‘We’re seeing some great buying opportunities, but many buyers are still hesitant to commit believing prices will fall further – and they probably will,’ she says.
‘A few truly fantastic homes have changed hands quietly off market in recent weeks for prices which are a steal compared with the Covid boom – in some cases 20 per cent down from the peak of the market in autumn 2021.’
Simon Stone of Barker Stone estate agents in Berkshire says that country house sellers in that established country house market are getting 15 per cent less than their desired number when they sell.
‘Discounts are being offered, either through price reductions or just negotiations.,’ says Stone.’
Why are big country homes out of favour?
For all the beauty, space and privacy that large country homes have to offer, they come with obvious downsides.
With their size comes great responsibility and repairs and maintenance often becoming a money pit for their owners.
The cost of insuring such large properties keeps going up – and unlike with most properties, large country houses often will cost much more to rebuild than they would fetch on the sales market meaning they command massive premiums.
To make matters worse, building costs and labour have skyrocketed in recent years.
Since the end of 2019, the average cost of construction materials has climbed by more than a third, according to government ONS data.
But it’s not just materials that are costing more, recent figures from Hudson Contracts show that all 12 key trades saw their average pay increase last year.
Electricians saw the biggest jump in pay in the 12 months to April this year, up 14.4 per cent while scaffolders saw their pay rise by 9.3 per cent on average.
As a result of higher costs, buyers are increasingly looking for homes that don’t require major work.
‘Nearly every buyer wants a turnkey, or close to turnkey, property which they can move straight into,’ says buying agent Jennie Hancock.
‘Planning is an absolute disaster at the moment and buyers are very wary about subjecting themselves to a long and expensive project and putting their lives on hold in the meantime.’
Money pit: Repairs and maintenance on older country homes mean they often become a money pit for their owners
Estate agent Simon Stone agrees that it’s the sheer amount of work that’s putting many buyers off.
‘Country homes come in a lot of shapes and sizes, the only ones which are not appealing are those in need of significant modernisation,’ he says.
‘Plots with planning, or project homes with scope to extend are still very popular, compared to a fully built out 5,000-10,000 sq ft home requiring updating throughout, which is not desirable.
‘Homeowners need to offer high quality finishes, en-suites in all the right places, underfloor heating and upgraded glazing, just to draw buyers in.’
Stone also says they have not been seeing the usual number of buyers moving out of London.
In his view London buyers are struggling to sell their own homes with many remaining stuck in the city. While previously they may have rented out their London home, he says extra stamp duty and other taxes have made it less desirable to do so.
These country homes are selling for a bargain
While buying into a falling market is not for the faint hearted, now could be a great time for someone to make their move to the country.
‘Prices probably have further to fall but my advice is don’t leave it too late,’ says Jennie Hancock.
‘The best time to buy is a few months before the bottom, before it switches from a buyer’s to a seller’s market.’
For those able to sell their inner city homes, there is no denying that rural homes look cheap.
The average mid terraced house in inner London costs £889,000, according to the latest Land Registry data.
Take that budget to more rural locations around the country and it’s possible to buy something quite extraordinary.
For example, a six-bedroom Grade II-listed house owned by the same family for hundreds of years is going under the hammer at auction this month.
Grand: A six-bedroom Grade II-listed house owned by the same family for hundreds of years is going under the hammer
The grand property in Grendon, Northamptonshire, is going up for auction with a guide price excluding fees of between £850,000 to £900,000 via Auction House on Wednesday 19 November.
The three-storey period stone house spans 5,500 square feet and has six bedrooms and three bathrooms.
The house boasts a two-acre lawned garden commanding views of the surrounding countryside.
The main house comes with an additional two-bedroom ground floor flat, as well as a four bedroomed apartment and a former dairy, also converted to accommodation.
For those operating with a £1million budget, rather than buying an average three bedroom terraced house in many parts of London, they could upgrade to a wonderful Grade ll-listed eight bedroom country house four miles from Ludlow in Shropshire.
Estate agent Strutt & Parker is advertising this house near Ludlow in Shropshire for £995,000
The fine country house, which is marketed with an asking price of £995,000 by Strutt & Parker spans 5,624 square feet and comes with 10 acres of land.
There is also a separate cottage, studio flat and outbuilding equipped with a garage.
In Northamptonshire countryside, Jackson-Stops is marketing a eight bedroom manor house spanning 6422 square feet, alongside 2.5 acres of land and a fully self-contained annexe wing providing an extra 2,743 square feet of living space.
The property is currently listed for just under £1.7million having been reduced from £1.85million in August.
Jackson-Stops is marketing this eight bedroom manor house with more than 9,000 square feet of living space and 2.5 acres of land for £1.7million
Buy your own Downton Abbey
For those with bigger budgets, buying one’s very own Downtown Abbey is a reality these days.
Strutt & Parker is also advertising Papplewick Hall, a mansion spanning almost 15,000 square feet in Nottinghamshire.
It is priced at £3m after being reduced from £3.25m in July. The property is a Grade one listed Georgian house, with an additional four cottages, a tennis court, paddocks and 10.47 acres of land.
The mansion is built over four storeys of mellow Mansfield stone under a hipped slate roof.
Once part of Newstead Abbey, an Augustine Monastery until the Dissolution, Papplewick Estate was purchased by Sir John Byron for the sum of £810 in May 1540.
Frederick Montagu acquired the estate during the 18th century having been Lord Treasurer of England and had Papplewick Hall built in 1787.
Following the First World War Papplewick Hall was purchased by Alderman Albert Ball, father of the flying ace Captain Albert Ball VC for the sum of £136,410 – equivalent to £8 million today.
Priced at £3m after being reduced from £3.25m in July, Papplewick Hall is a Grade I-listed Georgian house, with an additional four cottages, a tennis court and 10.47 acres of land.
What about on a £500,000 budget?
For those tempted to leave London as well as other expensive towns and cities, even a £500,000 budget can secure something most people could only dream of in the countryside.
Prices in London have dropped on one and two-bed flats to around £500,000-£550,000, according to estate agent Winkworth.
Charles Erwin, head of sales at Winkworth in Notting Hill says: ‘For a £500,000 budget in the north-east of England, that will get you roughly 2,000 sq ft of house with a big garden, driveway for many cars, and close to plenty of amenities, compared to under 900 sq ft in London.’
For a three bedroom flat it is more likely a buyer will have to compromise both in terms of location and property type.
For example, Winkworth is currently advertising a three bedroom, 827 sqft, leasehold flat in Clapham, which is in need of refurbishment.
Take that same budget to the countryside in Northumberland and one can buy a 2,484 square foot four bedroom house equipped with a garage, an 85 foot long garden and far-reaching panoramic countryside views.
For £500,000 buyers can opt for a three bedroom flat in Clapham in south London of a four bedroom 2,500 square foot house in Northumbria
Or alternatively, a double Fronted seven-bedroom countryside house spanning more than 4,000 square feet and driveway parking for three cars is available in the village of Burrowbridge in Somerset.
The house has four reception rooms and four bathrooms and offers views Of Burrow Mump (pictured).
Better value: A double fronted seven-bedroom countryside house spanning more than 4,000 square feet is on the market for £550,000 in Somerset marketed by Fox & Sons in Taunton
