Now is the time to buy property in London says Black Brick
PUBLISHED: 15:00 31 July 2017 | UPDATED: 15:18 31 July 2017
Forget last minute holiday bargains, it's lower asking prices you should be looking out for. With summer in full swing, determined buyers should get a move on to secure their dream home say property advisors
With Brexit undermining political stability, Theresa May away on her holidays and the price growth stagnating, you might be forgiven for adopting a ‘wait and see’ approach to home buying. However, Black Brick advises quite the opposite for house hunters determined to find their dream home.
With other buyers seeking respite from the rat race, now is the perfect time to hunt, say Black Brick Property Solutions, who also argue that sellers will look favourably on summer offers since traditionally they resign themselves to being stuck until after the summer break. By that point, their property could face negative attention for being on the market too long.
With this in mind, vendors are pricing more realistically, claims the property company.
They also drew attention to the trend for selling off-market, which often attracts high-budget transactions. Black Brick have closed more transactions this year than at this point in 2016.
The report reads: “This increased activity is a function of the current market: feedback from our clients is that the relative lack of transparency is encouraging them to use a buying agent as a means to access market intelligence.”
“It’s more difficult and more time consuming to get a good sense of where the market is,” said Camilla Dell, Black Brick Managing Partner. She added that the higher transaction costs involved in buying a property, especially as a result of increases in Stamp Duty, increase the costs of getting it wrong.
“Using a buying agent is a bit like taking out an insurance policy: it can help protect buyers taking a hit from the wrong decision.”
In May of this year, Black Brick negotiated the sale of a property in Primrose Hill for a family relocating from Brussels. The £4.75 million home on King Henry’s Road was negotiated despite a higher offer from another buyer.
Black Brick said: “We move fast. We were first in through the door of this magnificent period house in Primrose Hill. Early negotiations meant we secured the property at a very competitive £1,399 per sq. ft., saving £400,000 from the asking price.”
“That the UK in general and London in particular is open to overseas buyers does introduce more competition into the market, but it also offers clear benefits,” noted Black Brick Partner Caspar Harvard Walls.
“It is helping to get properties built and Londoners housed. Hopefully this report will help to take some of the heat out of the debate about the role of foreign buyers in the London market.”
Recent figures from Countrywide suggested that the proportion of overseas landlords in the capital had halved to just 11 per cent in 2017, from 26 per cent in 2010.
Still thinking about booking that flight? Maybe it’s time to think again...