Tag Archives: london
House prices in prime central London market largely flat for last six months
Annual house price growth in prime central London declined marginally to 3.3% in March and this could be due to the forthcoming general election, according to a new analysis report. It was the sector’s lowest rate in more than five years and despite a 0.1% rise in March, prices have remained broadly flat over the last six months as uncertainty surrounding the outcome of the election on 07 May intensifies, says the report from real estate firm Knight Frank. ‘Activity is stronger in lower price brackets and where there is a more pressing need to act, though some parts of the market are treading water ahead of the vote and one of the most unpredictable elections in decades has caused some buyers and sellers to postpone decisions until there is clarity around the outcome,’ said Knight Frank associate Tom Bill. ‘As electioneering got underway in March, the polls still indicate a hung parliament is the most likely outcome. However, strong activity in some markets suggests there is a degree of pent-up demand that could be released after May,’ he added. The report says that the top three markets by sales volumes at the start of 2015 have been Knightsbridge, Islington and St John’s Wood. ‘Islington has benefited from the fact property taxes such as stamp duty have affected lower value properties to a lesser degree than higher value areas and annual growth of 7% is the second highest in prime central London after Hyde Park,’ explained Bill. He also pointed out that sales in Knightsbridge have been strong due to a series of high quality new build and newly refurbished properties that are ready for immediate occupation. ‘Buyers in prime central London are increasingly focussed on the quality of the property’s finish and facilities rather than its postcode, though in the case of Knightsbridge both have combined to produce a strong sales market at the start of 2015,’ said Bill. Meanwhile, St John’s Wood is benefiting as more buyers seek better value and more space than markets further south in central London. ‘While the overall picture is subdued, what is happening in these three markets highlights some key trends that could contribute towards driving the market after the general election,’ added Bill. Continue reading
Almost a quarter of UK landlords entered the business accidentally
Some 24% of UK landlords, that’s around 360,000, came into the residential private rental market accidentally or unintentionally, new research has found. The National Landlords Association (NLA) survey asked landlords why they first entered the buy to let market and found that 11% were by chance such as inheriting property. It also found that 5% acquired an extra property such as when they met a spouse or partner, 5% intended to sell a property but experienced difficulties and 3% had to relocate for work, either home or abroad. Central London was found to have the highest proportion of accidental landlords at 31%, followed by Wales at 29% and then the East of England and Yorkshire, both with 27%. The North West had the least with just 15% claiming to have got into the business unintentionally. The research also found that 30% of 10 landlords with a single property only break even or make a loss. ‘The figures show that there are a significant number of people who find themselves as landlords without ever having really planned to enter the market,’ said Carolyn Uphill, NLA chairman. ‘It may be surprising to find that so many single property landlords struggle to make it work, but we often find that this is because so many simply don’t realise what they’re getting themselves into. While a buy to let property can provide a steady return, you’re in business to provide a home for someone else so you need to know your obligations and make sure that you have a plan to make a success of it all,’ she explained. She pointed out that all landlords can sign up to the NLA for free to see how the organisation can help make a success of their business. The NLA offers free best practice tenancy agreements and other sample forms and letters which may be needed during the life cycle of a tenancy. Alternatively, enlisting the help of a letting agent is an option if you prefer a more hands off approach but just make sure they are a member of a reputable trade organisation such as the Association of Lettings Agents,’ added Uphill. Continue reading
UAE property prices and rental values dip
The residential property market in Dubai saw a minor downturn in February with prices and rents falling slightly but still up year on year. There is some variation between apartments and villas with apartment prices falling 1.86% month on month but still up 6.7% compared to a year ago, according to the latest index from REIDIN. Meanwhile villa prices were up slightly by 1.68% month on month and are up 6.2% year on year, the data also shows. Overall the REIDIN Dubai sales price index for all residential properties decreased by 1.18% but it still up 6.6% on a year ago. Residential rents also fell, down 0.76% month on month but this sector is still some 7.7% up on a year ago. Apartment rental prices fell 0.98% but are 8.8% up year on year and villa rental prices were up 0.08% month on month and 2% year on year. There was a similar pattern in neighbouring Abu Dhabi. Prices overall were down 0.83% in February 2015 but up 1.3% year on year. Apartment prices fell 0.89% and are just 0.1% above a year ago while villa prices fell 0.75% compared to the previous month and are up 1.1% year on year. Rents in Abu Dhabi fell 1.04% in February but are up 2.2% year on year. Apartment rents increased 0.45% month on month and 4% year on year while villa rents fell by 2.32% compared to the previous month and were up 6.5% year on year. Continue reading
