Luxury property in London is being built 3 times faster

The level of appetite amongst house builders in the UK in the elite areas is increasing. In the most expensive areas of the UK over the last few years to build three times more homes than the number of houses in the cheapest sector of the market.

A new study conducted by the CACI company, specializing in information technology in various fields. The study calculated the affordability of residential property in the UK in each individual area, based on the so-called cash gap index, which represents the difference between the requested amount of the mortgage loan and the available amount of the mortgage loan that a potential buyer can borrow based on your income in a particular area.

The study revealed that the market of residential property in the UK there are two speeds in new buildings that are built in affluent areas, the completion is much faster than in areas where affordable housing is built for people with more modest requests.

So, in areas with affordable housing for the last financial year it was built approximately 2,500 new homes, in contrast, more than three times – 8500 new houses were built in expensive areas.

The number of houses built in the most accessible to the average buyer places decreased by 15% compared to the previous year, and the number of houses built in the most expensive and not available to the common buyer places increased by 24% compared to last year.

About 23 of the 25 most unaffordable located in their property areas in the UK is in the South East of England, including 13 in London. In fact, the area of London Kensington and Chelsea is the least affordable district in the UK, with the average price of real estate in this £ 949800.

Thus, the results of the study clearly demonstrated the continuing appetite of investors to the real estate market of great Britain, or rather South-East of England.

The speed of construction in Prime locations more than three times the rate of construction in the affordable sector of the market.

Top three most affordable places headed Shetland and North Lanarkshire, in Scotland and Burnley. The three least affordable places took Kensington and Chelsea, Westminster and Camden, all these areas are, of course, in London.

® Helen Antre 15.08.2013