ACCORDING to figures compiled by the Halifax, the number of properties sold for more than £1m in England and Wales has increased almost eleven-fold since 1995.

During 2001, 2,434 properties valued at more than £1m were sold, compared with only 232 in 1995.

Unsurprisingly, the majority of £1m plus property sales are in Greater London and the South East. These areas accounted for 94 per cent of the national total in the second quarter of 2002, with the capital alone representing 71 per cent.

The number of properties sold for more than £1m during 2002, (estimated at 2,600), is likely be double the number sold in 1999 (estimated at 1,305).

The rapid rise in the total number of £1m plus properties coincides with the 40 per cent fall in the FTSE 100 since its peak at the end of 1999.

The subsequent decline in share prices appears to have boosted the demand for upmarket properties as many wealthy individuals switched some of their portfolio from equities to property-related investments. This seem to be one of the main drivers in the upsurge of high value properties, particularly in London and the South East.