Why now is a good time to buy £1M+ London property
There are a multitude of reasons why Wandsworth is attracting buyers: low council tax, very good schools, quality shops, bars, cafés and restaurants, and lots of green space. In addition, the A3 leads straight into the countryside and equally it has excellent transport links into central London.
There are changes afoot in the area with the redevelopment of Battersea Power Station and the relocation of the American Embassy to Nine Elms, which will all be positive for the borough.
Based on the early signs in 2015, the property market in Wandsworth seems to be relatively unaffected by the recent Stamp Duty changes and property transactions are still occurring regularly.
The majority of transactions in the area currently are between £500k and £1.5m with a handful between £1.5m and £2m. Flats in this price range in particular are selling well in Wandsworth. In terms of houses, there is stock available however it is mainly old stock from last year that has now been priced to sell.
There are relatively few properties selling over £2m in the area, however, this potentially could be a good time to buy at this level in particular as well as in the £1m+ bracket, as there little competition. We expect moving forward that these buyers and sellers will factor the extra stamp duty costs into prices that will be agreed, with compromise expected on both sides.
If you are thinking of selling, realistic pricing is key. In addition, the days of paying a premium for un-modernised houses where buyers could make their own design mark seem to be gone, as buyers have to pay extra stamp duty, they will be less inclined to pay for full refurbishments.
We are seeing big discounts in houses on prime streets in Wandsworth. For example a property on Geraldine Road has been reduced from £2.35m to £1.95m and houses on neighbouring Dault Road reduced from £1.25m to name but a few.
Looking forward, in a general election year it’s not unusual for market activity to become a little subdued in the run up to, and immediately following the event itself. However, whatever the outcome of the election might be, the market will usually return to “normal” within a matter of weeks. Until the election in May however, many people in the £1m+ property price bracket will wait to see the outcome before committing to buying or selling. However, the smart buyers will make the most of the reduced competition and their strong negotiating power.
With this, there’s no reason not to buy or sell quite soon, or at least before the outcome of the general election whilst others are still in their ‘wait and see’ mode.
If you are thinking of moving in 2015, do contact us for more advice on how we can help and latest market information on the area you are interested in.
