Competitive bidding, lower asking prices, a weak pound, the residential property market in the capital continues to appeal to many prospective purchasers
Competitive bidding, lower asking prices, a weak pound, the residential property market in the capital continues to appeal to many prospective purchasers, including investors, as reflected by growing signs of renewed activity in London’s prime residential markets.
Doomsayers may forecast that property prices in prime areas of the city will continue to fall, but with levels of demand in the capital incomparable to the rest of the country, prospects for London’s housing market look rather promising.
There are plenty of signs to suggest there is room for home price growth moving forward, on the back of Britain’s strong economy, an influx of wealthy foreign purchasers, falling unemployment, record-low interest rates, not to mention a chronic housing shortage.
Growth in demand from buyers has already led to an increase in transaction numbers, according to independent property buying agency, Black Brick.
Camilla Dell, managing partner of Black Brick, commented: “In the first quarter of 2017, we have seen activity in the prime London residential market pick-up significantly, particularly at the upper end, which has been subdued for some time.
“We are also seeing a return of competitive bidding across the spectrum, particularly on property that is priced correctly and in line with the current market.”
Not only is some property attracting competition, but Black Brick has also seen a return of gazumping, according to Dell.
She added: “It can be very difficult for buyers to know where the value lies especially in new developments were there can be a wide range of asking prices. “To understand the market, a buyer needs to do their research.”