If you would like to discuss the market or have an up-to-date appraisal of your property or portfolio, please do not hesitate to contact us.
The prime central London property market is a strange beast. It isn’t only influenced by the typical factors that affect the rest of the UK market – the need to move for more space, work or other changes in personal circumstances. Rather, the majority of transactions are discretionary on both sides. “We will sell if we get the price we want”, “We will buy if the right property comes up”. If buyer and seller expectations are not aligned there can be periods of stagnation with very low transaction volumes, which is what we saw in 2016 after the introduction of the 3% stamp duty surcharge and the EU referendum.
In 2017, sellers became more realistic, and we saw renewed buyer confidence. This was underpinned by both UK and international owner-occupiers looking for prime property as a second home or a London base, and investors who had got fed up waiting for the big crash that wasn’t coming. Dinner party talk in the Middle East and Asia was once again full of certainty in London’s property market, and we continue to see a tangible effect.
At the end of last year, we sold this lovely penthouse to an Australian couple, who plan to expand their business interests in the UK.
Bedford Court Mansions, WC1B
We sold this 1,600 sqft, three-bedroom apartment to a family from Hong Kong as their London base.
And these four flats sold to lettings investors from India, Cyprus and the UK.
Balcombe Street, NW1
Dorset House, NW1
Waterdale Manor House, NW1
2018 has had a fast start and it feels like there has been more activity in the first two weeks since 2007, which was a record year. There is a shortage of new stock, and Rightmove has reported that asking prices are up 3% on December. One of my colleagues interestingly commented that the market conditions reminded him of 2009, when sentiment changed extremely quickly and there was an almost instantaneous 10% jump in prices. We don’t predict this, but there is no doubt that the smart money is returning to London to make the most of the new norm.
If you would like to discuss the market or have an up-to-date appraisal of your property or portfolio, please do not hesitate to contact David.
Marsh & Parsons defines ‘prime central London’ as to include Chelsea, Earl’s Court, Holland Park, Kensington, Marylebone, Notting Hill, Pimlico and South Kensington.
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