6 July 2015
Average asking prices in Greater London break the £500,000 barrier
Figures obtained from the Q2 2015 Move with Us Residential Market Review, calculated in conjunction with home.co.uk, has identified that the average asking price for property in Greater London has broken the £500,000 barrier. The typical asking price for a property in the capital in June was a whopping £514,596. This marks a yearly increase of £53,186.
Low numbers of people selling their homes and an increasing number of buyers, have created a strong sales market in Greater London which is likely to improve further in 2015. Multiple buyers will often be competing for one home which could mean faster selling times and higher prices for sellers.
Simon King, Director at Move with Us, says:“Increasing asking prices highlight how sought after property is in Greater London and why people are being priced out of the capital, opting to move to commuter hotspots where they’ll get more for their money.
The planned infrastructure of Crossrail and HS2 may help to alleviate competition for properties in Greater London. Properties in areas where there’s planned infrastructure linking them to the capital tend to be a more affordable option. As a longer term investment, these areas are typically gentrified which increases property prices. These properties also tend to be easier to sell on as they have good local amenities and good transport links.”
“Phase 1 of the HS2 rail link from the West Midlands to London is a great example of planned infrastructure. According to the latest Move with Us Residential Market Review, the average asking price in the UK is £271,089, the highest on record and a little out of budget for the typical first time buyer. The average asking price for a flat in B4 where the high speed rail link is in Birmingham, however, is £121,633, the perfect price for any first time buyer and Stamp Duty free. When you also consider there’s a 25 year plan in place to regenerate the area, capital appreciation seems likely which could provide first time buyers enough equity to buy a larger home further down the road.”