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Regional Property Market Update Summer 2022: London

Posted on: Thursday, June 9, 2022

Mixed Messages

The housing market remains busy. Compared to the last ‘normal’ market of 2019, buyer enquiries are up 31% and mortgage approvals and sales are up by 12% and 11% respectively. However, there are half as many properties available to buy and stock levels are down 55% (Rightmove, HMRC, Bank of England). The prolonged mismatch between demand and supply continues to support prices. On average, properties are selling subject to contract in just 31 days, the quickest time ever recorded. With competition for properties remaining high, Rightmove report that asking prices have hit their fourth consecutive record high in as many months.

 

Over 433,000 homes in the UK changed hands in the first four months of 2022, making this the third busiest start to a year since 2007. Last year was an exceptional year due to Covid-19 and 2016 saw a surge prior to the introduction of the 3% additional homes surcharge. Except for last year, April 2022 has been the busiest since 2007 (Dataloft, HMRC). The London market has spurred back into action in the past year; close to one in every 25 properties is estimated to have changed hands. Tower Hamlets, Havering and Wandsworth are currently the most active housing markets in the capital.

Regional Property Market Update Summer 2022 London

 

A perfect storm

Economic headwinds are gaining momentum. Expectations of global and UK economic growth have been pared back, while consumer confidence has plummeted to its lowest level since records began in 1974. Optimism is weaker than during the global financial crisis, Brexit or Covid-19 (GfK). The Covid recovery, war in Ukraine and rising energy and food prices, alongside a strong labour market and low unemployment, have created a perfect storm. Inflation is pushing a 40-year high. Thanks to fixed-rate mortgages, many households are cushioned from the impact of the latest base rate rise, but day-to-day budgets are increasingly feeling the squeeze.

 

Annual price growth in London is currently stronger than it was a year ago, although at 4.8% it remains the lowest of any region of the UK (ONS, UK HPI). Compared to the other regions of the UK, the capital has a greater volume of stock left to sell, but levels remain lower than the historical norm.

Most active markets in the region

Slow gear change

For many, the question is when, not if, the property market will start to moderate. However, any gear change is liable to be slow and steady, and not an emergency brake as was the case in the global financial crisis of 2008. Forecasters still anticipate positive price growth over the course of the year. Market fundamentals remain strong. A strong desire to move remains in the minds of many and there is a shortage of properties, compounded by data indicating that new home completions remain below pre-Covid levels and short of the government’s 300,000 homes target.

 

 

Properties for sale in London

Oslo Tower, London, 2 bedrooms

 

2 Bedroom Flat, Oslo Tower, London

This vast and bright 18th floor home has several standout features including the river-facing 37ft living area with open-plan kitchen and the dual-aspect city-facing master bedroom, in conjunction with a space ideal for a home office and a stunning ensuite with separate bath and walk-in shower. The second spacious bedroom offering views towards Greenwich is located at the opposite side of the property and there are two bathrooms as well as a further separate WC.

 

Leyton, London, 4 bedrooms

 

4 Bedroom House, Leyton, London

This property has been kept to a high standard whilst offer great space and light throughout. On entering this home you are greeted by a generous hallway with a door leading to a bright and spacious through lounge, with a Victorian fire place. On to the modern kitchen/diner with well designed utility room/downstairs WC coming off the kitchen area, and doors leading out on to the lovely garden.

 

Camberwell, London, 2 bedrooms

 

2 Bedroom Flat, Camberwell, London

 

Enjoying a peaceful yet supremely convenient setting, this well presented one bedder benefits from a bright living space, study and modern bathroom. Facing over a particularly lovely shared garden the property also has the use of communal storage. De Crespigny Park leaves you perfectly placed for the amenities of Camberwell, East Dulwich and Herne Hill. Denmark Hill's zone 2 station (with the London Overground Line) is but a five minutes stroll.

 

Contact us

As property prices and demand continue to rise, sell your property with experts in the property industry this spring. Contact your local Guild Member today.

 

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I would highly recommend Hardings Estate Agents. They have excellent knowledge of Windsor and the surrounding areas, and are extremely professional, responsive and courteous. I would not hesitate to using them again the future. I recently dealt with Milica who was instrumental in securing us our new home in Windsor as well as the sale of our existing property. She was a fab negotiator and a real pleasure to work with from beginning to end. Thank you!

Jonathon Beresford

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Hardings of Windsor managed our purchase with complete professionalism and went over and above in my opinion to manage the transaction and chain, resulting in a really smooth purchase. Milica at Hardings constantly provided timely updates and managed respective solicitors and the chain effectively, always responding quickly to queries. The whole transaction would not have happened without Milicas' focus on making all parties comfortable and satisfying all queries, not only professional but a delightful and welcoming personal approach that was a constant throughout. Thanks Hardings! Thanks Milica!

Stuart Blatch

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I would recommend using Hardings estate agents when buying or selling your property. Dominic (Scully) was always available, helpful and genuinely interested in my purchase and always calm and compassionate. If I ever move again my first choice will be Hardings.

Cath Powell

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Dom and the team at Hardings were so helpful and efficient when I purchased my flat - friendly and professional service and kept us up-to-date the whole way through the process. It was my first time buying and so was very nervous but they helped me feel at ease.

Freppell

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We bought and sold through Hardings and can't recommend their professional service enough. The whole Team are really lovely, we were kept informed throughout the process and never had to chase anything.

Natalie Quint

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I used Hardings when I bought my property as well as when I sold it and the service has been fantastic both times. I very much recommend Hardings!

Therese Jouini

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We recently purchased our new home with Hardings Estate Agents. The whole team there were very helpful and flexible with us, arranging viewings quickly on the same day. They were always quick to respond and if ever our point of contact was not there, the service did not change as they work well together as a team. We received a personalised service, which allowed the sale to proceed quickly. Thank you all and we recommend Hardings Estate Agents without hesitation.

Mike B

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What a pleasure it was to deal with Milica from Hardings. She sourced the perfect property for me and my family (while we were still abroad) and worked endlessly to put the deal together. I would give more than 5 stars if at all possible!

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Eloise Harris

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Thank you, Dominic and Louisa - having not moved for over 30 years you helped me all the way, step by step. You were always polite, communicative, reassuring and very supportive. Would recommend Hardings wholeheartedly.

Anna Bowen
How Much is Your Property Worth?

How Much is Your Property Worth?

A senior member of our sales team will visit your property to discuss current market trends and how your home; based on size, condition and location should be pitched to achieve the best possible price and buyer. Coupled with an excellent understanding of the local market we do a detailed analysis of what else has sold and what is coming onto the market so we can give you the best chance to capitalise on your biggest asset.

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