An overview of the real estate market of England

A recent study of luxury residential real estate market of London, was published an influential estate Agency Savills.

The growth of prices for elite residential property in London begins to slow down three months in a row. The interest of buyers has become more moderate, they do not show haste, which was evident in the beginning of 2014.

The interest of buyers began to blur from the Central elite areas of London in favour of other locations outside the center.

For the last three months the decline in excitement in the real estate market is observed both in the London and regional markets. In the middle and in the regional markets of real estate and the real estate market of London for three months recorded price growth of 0.5 %. Moreover, this average is formed from the partial as local prices fall, and small growth in some areas.

Despite the steady improvement in the UK economy, the market impact effect of the introduction in 2012 of high stamp duty on real estate is more expensive than £2 million in summer at the market there was some uncertainty in connection with the upcoming September referendum. The third significant factor influencing the real estate market in the UK – persistent rumors about the introduction of a “mansion tax”, which should relate to the real estate more expensive than £2 million pounds.

However, the main locomotives of elite real estate of London – Chelsea, Belgravia and Knightsbridge saw the average price increase 3.3 percent over the past three months. Less expensive areas of Notting hill and Kensington have shown an increase of 1% in the last quarter and since the beginning of the year prices in these areas amounted to 10%.

In other London districts, we can say, the prices were static. Across West London from Fulham to Richmond and Wimbledon and on South to Wandsworth prices rose only 0.1 % last quarter. These areas have shown rapid growth in 2013 to 14%. But now, it seems the market has reached its peak and buyers are very discreet and do not rush to buy, but other factors under the influence of rising interest rates and stricter mortgage rules.

Contrast with these figures the real estate market of the London district Islington , Canary Worf and Wapping , where for 9 months of 2014, price growth reached double digits.

The real estate market outside London is particularly acute experienced growth in cities – universities – Oxford, Cambridge and bath. Marked price increase by 1.2% over the past three months and 7.6% for 12 months.

The specter of rising interest rates and the prospect of the introduction of a mansion tax in 2015 will continue to exert an inhibitory effect on prices. Although in the long term the market is a great potential for growth in the short term the prices may even fall a little.

These circumstances must be considered both sellers and buyers with a realistic understanding of the conditions encountered on the market.

® Alice Morgan . 02.10.2014

Offers of elite real estate of London:

HENRY MOORE COURT, MANRESA ROAD, SW3 £ 12,000,000

KNIGHTSBRIDGE SW1X – £19.5 million

MONTPELIER SQUARE, KNIGHTSBRIDGE SW7 – £13.3 million

QUEENSBERRY PLACE – £ 12.5 million

SLOANE STREET, KNIGHTSBRIDGE SW1X – £ 12,950,000

Mansion on Mayfair £ 32,999,950

Luxury apartment – Hyde Park – £65 million

PARKSIDE, 28-56 KNIGHTSBRIDGE SW1X – £ 6,995,000

KENSINGTON SQUARE, KENSINGTON W8 – £ 7,000,000

TREVOR STREET, KNIGHTSBRIDGE SW7 £ 7,950,000