Sixteen London neighborhoods are among the top 20 buyer’s markets, where asking prices have fallen and homes are slow to sell, according to a new analysis of top buyer’s and seller’s markets.
The areas highlighted in the search are traditionally some of the most sought after in the capital, meaning now may be a good time to buy a ‘bargain’ property as many people continue to abandon city centers during the period. pandemic.
Hoxton was the top buyer’s market for 2021, with nine out of 10 properties listed for sale still available for purchase, Rightmove research shows. This led to a drop in asking prices of six percent year over year.
The real estate website revealed where in Britain the housing market is currently tilting towards sellers and towards buyers.
Despite being a sellers ‘market in the South West of England, the market continues to favor overwhelmingly central London buyers as people adjust to hybrid work and’ racing. to space ”continues.
Central London neighborhoods featured prominently in the list of top buyer’s markets, with Chelsea, Bayswater, Knightsbridge, Victoria, Maida Vale, Finsbury and Stockwell in the top 10.
Other areas that are traditionally more expensive and well served by public transport have become buyer’s markets in 2021, as office workers abandon commuting in favor of space and a garden.
Canary Wharf, Camden, Whitechapel, Southwark, Acton, Notting Hill, Fulham and Cricklewood all made the longest list of buyer’s markets this year.
House sellers were favored in outlying areas of London and the Home Counties, such as Grays, Bexleyheath, Orpington, Sidcup, Dagenham and Eltham, Rightmove said.
Buy at Hoxton
Henry Chisholm, sales manager at Keatons real estate agents in Shoreditch, said they had seen a “constant” interest in Hoxton properties, but the high proportion of buildings subject to EWS1 form guidelines for siding at the aftermath of the Grenfell tragedy meant buyers could be wary.
“Once that confidence is restored, I think we’ll see a more fluid market in 2022,” he said. “This is what buyers have been a bit skeptical about.”
According to Chisholm, Hoxton’s demographics are made up of young professionals drawn to what the “living” region has to offer. With more of that population working from home during the pandemic, the market has slowed, but he is hopeful it will pick up in 2022.
“I’m hoping for a more cohesive market, but with a new variant involved it’s very difficult to predict,” he added.
“You would like to think that there wouldn’t be another foreclosure and therefore a cohesive market with steady incremental growth. I hope it will. We have some new instructions slated for early next year, and we’re hoping for a more normal year. “
Oliver Mint, sales valuator at Foxtons Shoreditch, said he had seen renewed interest in Hoxton since the end of September as buyers slowly returned to central London.
“Hoxton is a place that people are looking to buy because it offers good value for money compared to neighboring areas such as Islington,” he added.
“The number of candidates who register with us is increasing, the majority being first-time buyers who choose to plunge back into the market for one-bedroom apartments which had calmed down a bit during the pandemic. We have also seen a resurgence in the number of rental investors due to the extremely competitive rental market. “
Buy in Chelsea
In Chelsea, 85% of homes listed are still available for purchase, according to Rightmove. But estate agent Gabriella Krejci said the area continues to be popular with UK and international clients.
Krejci, Foxtons Sloane Square Sales Manager, said: “The market has really taken off in Chelsea since September.
“When local residents returned from their summer vacation, we saw the pent-up demand for Chelsea property come to a head.
“Our clients have concentrated on the pied-à-terre in the region to complete their new homes in the countryside. The most popular are apartments which have workspaces and outdoor spaces following the change in lifestyle generated by the Covid.
“We ended 2021 strong, the last few months have been the busiest I can remember. We are very excited about 2022 as we build on recent trends and market changes. “
Buy at Stockwell
In Stockwell, 79% of homes listed in 2021 are unsold, but asking prices are up 3%.
Paul Darko, sales manager at Atkinson Mcleod in Kennington, said he saw high demand for the ex-local authority’s properties, particularly the three-bed apartments.
“The appeal of Stockwell is that it is convenient for accessing both Brixton and Clapham and excellent transport links,” he said.
The architecture, although mixed, offers an appropriate mix of apartments and houses ranging from period Victorian terraces to attractive Georgian conservation areas, most notably the much sought-after conservation area of Stockwell Park.
“The outlook for 2022 for the region is heightened interest from potential buyers as sellers return to the market to meet pent-up demand which I believe is waiting to be released.”
Buy at Canary Wharf
Meanwhile, in Canary Wharf, where asking prices have fallen one percent year-over-year, experts have seen a real shift in market demographics.
Lee O’Neill, sales manager at Knight Frank Canary Wharf, said it has traditionally been an area where people have bought properties as second homes or buy-to-let, but with declining demand and rents caused by pandemic, many were choosing to sell. He also said the tax breaks were not as good for richer people.
“I would say that six of the 10 deals we did in 2021 were people’s second homes or their rental investments.
“Overall they’re slightly less price sensitive, so if they have something that’s 100% of the profit money in the bank, they’re probably a little more willing to accept the price adjustments brought on by the Covid pandemic and the lack of people working in and around Canary Wharf.
“So they adapted to the market and decided to sell for these reasons which made it more of a buyer’s market.”
According to O’Neill, there are a wide variety of people who buy property in Canary Wharf. Traditionally, the demographics have been single people aged 25 to 35 with a career focus, but in the last 15 months there has been a shift.
“Given the performance of the market outside of London, we have seen people of retirement age who have sold larger homes outside the country come back,” he said. “They bought a beautiful lifestyle apartment with a view of the river and enjoy a little more than living in an empty house in the countryside.
“They usually bought our kind of trophy properties on the river with a nice outdoor space. The type of property that you are excited to show and sell, they usually buy them. With a property selling so well outside of London and the market reaching a point where our part of London started to look like really good value for these people, then they came back to the market.
O’Neill also said there is a lot of real estate in Canary Wharf due to the number of new builds completed, including 10 Park Drive, 1 Park Drive and Landmark Pinnacle.
“We can’t deny that buyers have had a reasonable choice of goods and that some of those goods have been judiciously valued to make sure they sell, so this is a change in the market that is definitely happening.” , he added.
“I think a lot of these reasonably priced properties have already sold this year and a lot of motivated sellers have already left the market and I think we might see a drastic change after winter when I think the market might become a little more between sellers and buyers.