London Property Market Update

As Prime Central London has priced itself beyond the reach of all but the wealthiest, Londoners are heading further out to zones 2, 3 & 4 to find better value. Although prices across the whole of London dropped an average 1.8% in 2017 and are expected to drop a further 2.0% in 2018*, prices in Greenwich rose 5.9% in 2017** and are expected to exceed this in 2018.

These outlying, more affordable areas also received a boost from the autumn budget in November 2017 when the government reduced (and in some cases removed) stamp duty for first time buyers. The Royal Borough of Greenwich is made even more attractive to purchasers with the upcoming Abbey Wood and Woolwich stations on the Crossrail network and continuing investment supporting ambitious regeneration and this large London borough is firmly on the list of London’s top 10 locations in which to invest or buy a new home as highlighted in a recent report from Rightmove.

As the mortgage market continues to demand higher capital investment from purchasers, individuals can no longer afford to renovate older housing stock and new, regeneration led developments such as Kidbrooke Village become the purchase of choice, helping to drive demand and price growth.

At the same time that demand for new homes is driving up sales prices, more and more Londoners are choosing to rent rather than buy (up from 15% of all households in 2013 to 20% in 2017). Rental demand across London is rising and, as with the sales market, it is the more affordable areas that are proving the most popular.  Tenants now prefer high-spec properties in immaculate condition over prestigious central London addresses. New build London homes are setting the standard, with quality and added onsite facilities being the crucial factor. 

With the overall tenant demand likely to increase in the long-term, there are still opportunities for those investors who remain interested in Buy-to-Let, especially If they choose to expand or reposition their London portfolio to more affordable boroughs such as Lewisham and Greenwich. 

 Kidbrooke Village, close to affluent Greenwich, having many good schools in its vicinity, and surrounded by 136 acres of parks and open space, remains a top performing rental destination and continues to attract rental enquiries from professionals and young families.  As the development matures, there is increasing appreciation of its attractive village atmosphere with high-quality homes in extensive landscaping, excellent onsite services and facilities and dedicated management and maintenance.

 Click here to view the latest list of homes available to buy in Greenwich

 Click here to view the latest list of homes available to rent in Greenwich

*Independent

**Rightmove