The prices of houses in Central London, one of the leading residential real estate markets of the world, is expected to remain flat for the next three months. Similar growth was witnessed during the last three months, according to latest survey results published by the Royal Institution of Chartered Surveyors (RICS).
The flattening of prices is expected to spread beyond London. “Moreover, chartered surveyors are starting to report early signs of this flatter trend permeating outside the capital, as the price balance for the South East of England,” RIC said in its report.
This is an ideal time for investors to acquire residential real estate assets in London. The weakened sterling will be an added advantage for international buyers. The fundamentals of the London property market are strong and investors are receiving a consistent ROI. This makes it an ideal situation for investors to explore the London property market.
The RICS data provides a clear picture of what lies ahead for investors in London property market. The near-term price expectations continue to signal a flat trend over the coming three months at the headline level. Over the next 12 months, the survey respondents remain more optimistic with a net balance of +28% anticipating an increase in prices. Again, central London continues to exhibit the most cautious twelve-month projections relative to all other parts of the UK.
The flatter trend in price growth is arguably a silver lining, but there is no real indication that the housing market will become materially more affordable anytime soon.