London Property Tipped For Overseas Buyer Boost
The London property market has lagged behind the rest of the UK over the last few years, but could be set for a fresh injection of impetus in 2022 as overseas buyers return, an estate agent has predicted.
Winkworth made the prediction in its latest Property Exchange Podcast, with chief executive Dominic Agace forecasting: “We will see the return of prime central London. It has been most affected by the pandemic and it hasn’t gone anywhere for the past six years. There will be significant pick up.”
He noted that there is already evidence of a major upturn on overseas buyer interest, with applicants for new properties in prime central London up 44 per cent and four per cent for suburban areas of the capital, compared with the last pre-pandemic figures in 2019.
“This shows the buzz around properties in central London. This will lead to price increases in central London outperforming the rest of the UK,” Mr Agace commented.
He added that Kensington and Chelsea are likely to be the areas with the most attention, as overseas buyers account for up to half of purchasers there in a year.
Mr Agace tipped price inflation to be six or seven per cent in prime central London next year, compared to three or four per cent for most of the rest of London, bar a few “super suburbs” that outperform the rest.
Now may be a very good time for prospective buyers to seek help from London property experts to establish the best places to go, either within locations such as Kensington and Chelsea for those aiming at the areas where prices will rise most, or in other parts of the capital offering excellent bargains.
Alternatively, buyers may be motivated by other factors. Rightmove recently published its annual Happy at Home index, which aims to find out what locations have the most upbeat people.
Richmond in south London came second in the whole of the UK, contradicting the notion that people are usually happier out in the countryside – even if the small Northumbrian town of Hexham did take top spot.