Investing in properties in London can be a big opportunity. However, the process of getting one’s hands on such deals can be tricky. Interested buyers have to perform a complete analysis of the London Real Estate market if they are planning on investing in it.
This helps in planning and striking a well-negotiated deal with the seller or agency. While there are numerous opportunities available for the buyers, they just need to know what and where to look. By making the right choice in this stage, they can make the whole process even more convenient.
To help you understand the Real Estate Market in London, we have researched through the market trends and got the best of it for you. We also have a Buyer’s Guide in the following sections.
What Are the Stats for 2020?
The property market of London has displayed a slow growth for many years. The statistics show that the London Property Market saw a boost in 2016; however, the sales have been declining since then.
But 2020 brought good news for the industry. Residential sales done in 2020 alone were over 7,500, unlike in previous years, which were around 5,000 to 7,300. Since there are a few more months left, the numbers will grow more.
While the sales stats are impressive, the market still faced a decline in transactions. This is largely because of the sudden global spread of Coronavirus. However, the market has recovered remarkably and is open for interested buyers. Also, the properties are more on the affordable side, which makes it ideal for both investors and first-time buyers.
The consumers are advised to make the most of these advantageous events and invest in properties that give profitable returns in the future. The pace of market growth is said to stay consistent throughout the year now and continue into the upcoming years. Moreover, the prices will increase gradually; therefore, this would be the right time to start purchasing.
Recent Updates on the Estate Market
The average pricing of a house in London would be around $500,000. Seeing this price tag, it is pretty obvious why buying a residential or commercial space in London is a difficult and expensive decision. And considering there are many first-time buyers, this can get more confusing and “out of budget”.
Moreover, the competition for bidding the best deal has increased with the pandemic. Many who fail to get their dream property in London tend to look for the same in the surrounding areas and cities. Generally, these areas are priced inexpensively. However, this property hack doesn’t always work.
Regardless of the variability of the result, many buyers follow this trick and look for a similar property. Some of the popular areas are Hampstead, Notting Hill, and Belgravia; these areas have experienced a lot of Real Estate activity. Consumers can find high-end houses or spaces with exclusive deals.
London Real Estate Buying Guide
There are so many factors and elements that one has to keep in mind when looking for a property in London. Whether you wish to expand your real estate holding or wish to settle down in the capital city, following these pointers will make the decision easy for you:
1. Check the Basics
Start by focusing on the type of space you are looking for, what facilities you need, and the additional amenities you will receive. While these are primary areas, you will have to ensure that you don’t settle for the second-best by compromising on either requirement.
2. Watch the Price
The most intriguing part of London’s Property Market is that the pricing of two properties can have a huge difference, even if they are close physically. Therefore, if you wish to save some extra pounds, make sure you keep your options open. And since London is a big city, there are plenty of options available.
3. Do Your Research
If you have a specific area in mind, or have found a property that fits, make sure you check the rates of real estate in the area yourself. Check the rates of properties that were sold recently in the same locality. Don’t sign the deal on the asking price without cross-checking.
4. Consider Long-Term Journey
Most property buyers look for settling in the space for a longer duration. You will have to think whether the particular property fits your business’s or family’s long-term demands. This will again cover thinking over point one of our guide.
5. Freehold or Leasehold?
Leasehold is a common practice in the London Real Estate market. This necessitates reviewing the lease duration. If a property is placed on short leases, it provides renewing opportunities, but re-selling them in the future will become difficult.
Luxury housing prices in London are set to rise in the near future. Most buyers have already started planning and looking for potential properties. This would be a lucrative decision for investors.
Moreover, with the affordable pricing, this is also great for people who wish to buy a home in the city. Make your choice today, and get the support of experts to make this process hassle-free for you.