MARKET REPORT

Our marketing of new property in both sales and rentals for November are seasonally high but gives us the opportunity to continue with our previous market experience of a busy run up to Christmas and an early start to the buying season in the New Year.

The stock availability is still not as high as other residential areas of central London but at least we can offer the buyer or tenant a better selection than in the last 18 months.

MOVING UP OR MOVING OUT

The question, “Why are so many people selling?” is answered by the fact that our clients, the sellers, are either moving up into larger property or moving out of the area altogether. Lower interest rates combined with affordability are still encouraging buyers to look at property that suits.

On the rental side of the business, corporations are not renewing their yearly tenancies and there are few companies willing to commit at present. The main demand is coming from individuals who are looking from other areas such as South Kensington or Regents Park, seeking value for money in Mayfair rental properties.

UP OR DOWN?

Press reports on the present market portray a very confusing picture to those thinking of moving. Rises in prices of over 20% in some areas of the country whilst other reports claim the top end of the market in central London has “run out of steam.” The rental market press reports are full of stories regarding “the end of the buy to let market”.

Our vendors are sticking to their asking prices but some of our buyers are not encouraged to venture out into the cold to view properties unless they feel a bargain is to be had! The rental market is demand led and not purely price sensitive.

Interest rates don’t appear to be on the rise, with the smart money on a further reduction. This will help manufacturing industry but in our opinion will not encourage any further surge in property prices, as the correction has already been put into the price/affordability equation. As to the rental market asking prices have not been reduced, however some landlords are taking a commercial view as to income stream in the immediate future as opposed to maintaining their stance on price.

SUPPLY & DEMAND

As with any commodity once the supply increases it enables the buyers and tenants to view a wider selection of property and possibly put them in a stronger bargaining position. Therefore the present market should prompt those buyers or tenants sitting at home to grab their coats and hats and start looking at property again before they miss out on the wide selection presently available.

TOP END OF MARKET

Mayfair houses and flats at the top end of the market are still selling well and we have strong interest and enquiries for “that perfect property”. An exciting new instruction is a modern penthouse overlooking the whole of Mayfair and beyond towards the City, Westminster and Hampstead. A true penthouse with terraces and balconies surrounding the duplex, the penthouse has three reception rooms, four bedroom suites and a large kitchen/breakfast room with separate staff bedroom and shower room. Other small luxuries include two private car parking spaces, two large terraces and 24-hour porterage. £5.5 million for the 999 year lease.

A new house to come available in the letting market is a recently modernised period townhouse in the heart of residential Mayfair featuring a patio garden, air cooling (if needed!), lift to all floors, marble bathrooms and staff accommodation. The house is planned for entertaining with first floor L-shaped reception, dining room to seat 12/14 people and a wonderful kitchen / conservatory room. Available from December for Christmas celebrations at £3,500 per week.

MARKET VIEW

On the selling side we now have a better selection than we have had for over 5 years and viewings are recommended. On the rental market we have now taken on a good selection of 1,2, & 3 bedroom flats between £600-1,000 p.w. with quite a few being unfurnished.