Russell Jervis, managing director of haart estate agents comments: "Following a prolonged period of extremely buoyant growth, house price inflation has begun to slow across the UK, as the succession of five interest rates since last August begins to take effect and we move into a buyers’ market."
"However, London has not been affected in the same way, with its property market still showing the strongest levels of price growth and activity in the country. The high number of appointments booked to view properties over the bank holiday weekend is an early indication that the autumn market is set to be buoyant, as consumer confidence remains high due to a belief that interest rates may have finally peaked."
"Price growth in the capital is largely being driven by hotspot pockets where a recent increase in popularity leading to high demand is combined with a shortage of available stock, particularly family homes and one and two bed first time buyer apartments."
London hotspots include
Balham, Wandsworth, South West London
Balham has seen annual price growth of 20% since 2005. In January 2007 alone, prices increased by 10% and are continuing to grow into the second half of the year.
Balham is a popular location for first time buyers, attracted to the bars and restaurants of Balham High Road and Bedford Hill and the proximity to the social life in Clapham. In addition, families place emphasis on the quality of the nearby schools in the two conservation areas of the Heaver Estate and Hyde Farm.
Beckenham, Bromley, South East London
Property prices in Beckenham have increased by between 10% and 15% since August 2006 and are expected to continue to grow despite prices in the surrounding areas beginning to cool.
The large proportion of converted apartments and new developments of flats located close to the station is ideal for first time buyers and city workers. A one bed flat can start as low as £150,000.
Blackheath, Lewisham, South East London
Blackheath is one of the more affluent areas of South East London and has become hugely popular with young dynamic city workers, lured by the proximity to Canary Wharf, the attractive green surroundings and trendy village atmosphere.
A one bed period apartment can be valued upwards of £250,000 and an average three bed property can be anything between £400,000 and £700,000. It is predicted that end of year city bonuses will be channelled into prestigious properties, boosting prices in Blackheath by as much as a further 5% by the end of the year.
Raynes Park, Merton, South West London
The housing market in Raynes Park has exceeded expectations over the last twelve months, with an average property price increase of 20% from June 2006 to June 2007 and the average price for flats increasing by around 45% over the same period. Despite these huge rises, buyers can still get good value for money on all types of homes.
ENDS
Notes to editors
haart is part of the Spicerhaart group, the largest network of independent estate agents in the UK and Europe. The group operates across the country through branches of haart, Spicer McColl, Felicity J. Lord and Darlows throughout the UK.
For more information please contact:
Louise Marshall
The Wriglesworth Consultancy
T: 020 7845 7900
E: l.marshall@wriglesworth.com