The latest Cities Index report, provided by Zoopla has offered a mixed bag of results for London when it comes comparing its year-on-year price inflation and discount to asking prices against the country’s other major cities and markets.
The capital’s property prices are averaging an annual rate of inflation of -0.4%, whereas the likes of Manchester and Birmingham are registering year-on-year rises of 6.3% and 6.2%, respectively. Indeed, only Cambridge and Aberdeen are reporting a negative inflation larger than London, which is hardly a surprise given that the city has taken the brunt of the nation’s uncertainty since the Brexit vote in 2016.
Yet those buyers willing to take advantage of the sub-standard market conditions (and weather!) could land themselves a deal over this Winter season, thanks to an average drop in asking prices that sees London homes sold for a 4.8% discount on their original value.
To add further encouragement to the notion that this remains a good time to buy in the capital, the country has seen a surge in lettings despite owning a home actually working out cheaper for renters. Your average homeowners could save up to &2,268 by purchasing a home as opposed to letting a property, lending further credence that buying is far healthier for your bank balance than a more temporary arrangement.
It’s clear that negative headlines surrounding the health of London’s property market are likely to continue for some time, maybe beyond March’s deadline for the country to leave the European Union. But digging a little deeper into the current news stream and opportunities for buyers are clearly there!