Andy Sommerville, Director of Search Acumen, comments on the ONS House Price Index, March 2016
“Fears of Brexit appear to be hitting the wealthier, higher-end of the property market, while having no noticeable impact on slowing down house prices for the mainstream market – particularly in areas of high demand like London and the Southeast. Prices in the capital continue to rise, now up 13% year on year.
“The only areas to see slight respite in London are ones that will unaffordable for most buyers in any case – such as Kensington High Street and Hamptead1. Perhaps a slowdown in these areas could cause a domino effect as some commentators have speculated, but there is no evidence of this in today’s ONS data. Many prospective first time buyers continue to be locked into renting.
“The new mayor in London has just announced more than 50% of homes are to be affordable during his tenure, with actual city dwellers getting the first bite 2. Fresh news ideas include opening up TfL’s unused sites to offer up new homes 3. If the Mayor achieves these goals by hitting the ground running, perhaps London could set the pace for the rest of the country in terms of access to homeowners for new buyers.”
References
1. http://www.theguardian.com/money/2016/may/17/house-prices-drop-london-luxury-postcodes
2. http://www.theguardian.com/politics/2016/may/16/sadiq-khan-developers-housing-plan-london-mayor-affordable
3. http://www.cityam.com/241169/london-housing-mayor-of-london-sadiq-khan-plans-to-fast-track-scores-of-sites-owned-by-transport-for-london-to-build-homes
This article was submitted to be published by Search Acumen as part of their advertising agreement with Today’s Conveyancer. The views expressed in this article are those of the submitter and not those of Today’s Conveyancer.
