Press Release: London house prices will rise 5% in 2011
Thu 02 Dec 2010
- House prices in London to defy national decline in 2011, sustained by resurgent prime market and cash buyer demand
- London will continue to be a magnet for overseas investors, but falling euro to cause change in mix of international investors
Londons property market will continue to gradually improve in 2011, despite a bleaker situation for other parts of the UK, according to estate agent Marsh & Parsons.
Rising property prices in London point to a positive outlook for the capitals property market in 2011. Prime central London locations such as Kensington & Chelsea and Westminster are actually at their highest on record, having risen 9.7% and 7.6% respectively in the last 12 months.* In contrast, average prices have increased by just 3.4% nationally over the same period.Marsh & Parsons forecast that London will continue to buck the national trend in 2011, and house prices in the capital will rise 5% in the next twelve months, followed by an increase of 7% in 2012. Peter Rollings, managing director of Marsh & Parsons, commented: "The recovery may have petered out in other parts of the country, but activity and house prices remains robust in the capital. In fact, some parts of London are now seeing higher house prices their previous peak in 2007. With more properties beginning to come onto the market, prices will rise at a steady, sustainable rate over the course of next year, underpinned by a resurgent prime market."
"London will remain a magnet for both UK and overseas buyers next year, but we may well see a change in the mix of buyer nationalities. The euro is struggling following fears over the economies of a number of European countries, and the dollar performing well against the pound. We may well see a surge of investment from buyers whose currencies are pegged to the dollar at the expense of Euro buyers over the coming year."
* Land Registry House prices for October 2010, compared to October 2009
For further information please contact:
The Wriglesworth Consultancy Dan Pike / Neil Mackwood 0207 427 1400
Marsh & Parsons has been part of the London property scene since 1856. The sales and lettings agent has 14 offices situated in prime positions across central, west and south London. They have an intimate and extensive knowledge of the area.
Marsh & Parsons are an independent and professional firm with a 'can-do' attitude covering all aspects of residential property. They aim to establish individual relationships with clients through a business built on energy, agility, professionalism and knowledge. Their business aim is to be the agent who not only understands the local area around their offices better than any other agent, but also to be at the heart of the community.