London house prices

[MotiRoller]

I know there’s a thread for property prices but this is specifically about London property.

Having had to sell a flat with no outdoor space earlier this year in Zone 2, I’m aware the market for those specific types of property has crashed quite dramatically because there are so many of those flats now plus post pandemic a lot of people aren’t willing to live in them/have moved farther out because they can WFH. Now with a lot of LL selling up before higher rate CGT kicks in it’s not improving things.

But I’m curious what people think about houses in Zone 2/3 - terraced and semi detached family homes. Do you think they’re going up because interest rates have come down?

I ask because if the purchase we’re in falls apart we’re going to have to start looking again and I feel there are certainly fewer properties available in our budget now than there were in spring. We could potentially wait until next spring in the hope more comes on the market but we worry prices will go up again (although who knows after the Labour budget).

In our area, Wandsworth, the prices are up around 10% this year. Crazy prices but they’re selling.

House prices are definitely up within the zones 3 to 6 London areas. People are realising hybrid may not be forever, so lot's of people are opting for these areas to get the WFH space they need now, and also future proofing for return to office increasing. The house market has also increased because not only do you have landlord stock flooding the market due to new regulation and potential tax increases, many would be buyers have been turned off flats since the pandemic so there is now that segment of people that are looking at houses in the outer zones rather than 2 bed flats in the inner zones. This is also driving up prices.

That’s a good point about flat buyers looking at houses. V frustrating.

We are in Zone 5 and semi/terraces have hit their ceiling. Big detached houses seem to be going up, but I'm not sure they are selling.

I'm seeing a lot of loft conversions in our local area in the last 2 years. It wasn't that common before but there are loads now. People are staying put and extending.

North Dulwich/Herne Hill - asking prices deffo going back up again. Whether that translates to sold prices is hard to tell. But property is moving again (a year ago everything sat on the market for six months).

A lot of what’s available in our price range is property that needs alteration to room layout as well as things like new kitchen etc. Given the costs of materials and tradesmen it just doesnt seem worth it to us on top of the hassle of actually project managing it and then either renting for an extra year or living through it. We’ve had a rough couple of years as a family (bereavements etc) and are really looking for something simple.

Z 2/3 south London. Anything done, similar prices to 1 - 2 years ago. Anything needing a bit of work possibly 5% down on asking prices from the same time? I'm still seeing stuff come on at very punchy prices, but that either hangs around or gets discounted to more average asking prices (presumably depending on how keen someone is to sell).

I'm definitely not seeing places that need work on at prices that would reflect the actual cost of work needed.