Recent data suggests that the real estate market in central London is witnessing a trend of increased buyer activity re-entering the market. Analysis by the UK property agency Chestertons shows an 11% increase in buyer inquiries and a 25% increase in property viewings in September.
This resurgence could be attributed to the Bank of England's decision to halt further interest rate hikes, fostering a sense of financial security among potential homebuyers. Additionally, the trend of declining inflation data has further bolstered buyer confidence.
Although buyers have been on the lookout for affordably priced properties, London's housing prices have, in fact, stabilized over the past year, with no significant declines. Consequently, while more properties are expected to enter the market in the coming months, the likelihood of substantial price reductions remains low.
Meanwhile, rental prices in prime areas of London continue to rise, albeit at a slightly slower pace. According to KF's data, the number of potential new tenants in prime London locations remains in line with the five-year average, while the number of listed properties has only decreased by 12%, a smaller decline compared to last year's 37% decrease.
In September, the annual growth rate of rents in prime central London areas was 11.2%. It is projected that next year, the rental growth rate in prime central London areas will be 5%, and 4.5% in outer London prime areas. Nevertheless, both figures remain relatively high from a historical norm perspective.
Whether buying or renting, the overall development trend of the real estate market in central London is moving towards a stable normalization. As an international metropolis, London demonstrates strong resilience and continues to attract global property buyers due to its superior urban environment.
In the recent Resonance annual "World's Best Cities Report," London was once again ranked as the top global city, reaffirming its attractiveness and investment value.
As a leading professional Chinese property allocation and development management platform in the UK, Shengjinshi is committed to providing a one-stop UK property service for the global Chinese community, encompassing residential development, commercial office building investment, property renovation, asset management, residential sales, and rental management, among other areas. This means they can cater to the needs of various buyers and investors, providing comprehensive support and services.
