The average cost of residential property in London could reach £1 million by 2020

If the current rate of growth in property prices in London continue, the average price of a residential property in London will reach £1 million by the end of 2020

This forecast is made on the basis of data on the growth rate of prices submitted by the real estate company Rightmove, according to which, prices for the September holiday season in London rose 2.2% , or £13177 £ in absolute value. Indeed, the average price of a new house or apartment in London is now £620000, up 0.8% or £4888 lbs compared with July this year, when it was recorded the previous peak prices.

This month September’s growth of 2.2% was more than compensated for a two-month slowdown in prices prior to September.

Usually, September is a pretty volatile season on the real estate market of London. Many dear sellers of residential property are going on vacation and postpone the sale. However, the need to take the kids to school and find housing near schools, spurring demand from buyers and sellers, have already put their property start to raise prices.

Average annual price growth amounted to 9.5%, based on the imbalance of supply and demand and the pressure on the market from foreign buyers.

As indicated in its forecast Rightmove, the average price of new residential property in London now £53923 higher than in September last year. If the pace of price growth will continue, by the end of 2020, it is likely that average prices reached £1 million. meanwhile, experts Rightmov not believe that prices will grow at a pace. However, the current situation suggests that the capital of the United Kingdom and its suburbs vital needs in the supply of new affordable housing.

The past summer was very successful for the London property market. Particularly well sold real estate in the areas of Wandsworth, Lambeth and Hammersmith and Fulham. And the record growth of prices showed the Nine Elms area in Battersea, where the Studio , originally costing £450000 to end up being sold for £600000. This new development gave a ripple effect on surrounding areas that also experienced growing prices up to 15%.

® Maxim Savitsky G. 02.10.2015

Nine Elms

Catford Green

Salisbury Gardens

Greenwich

Croydon

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