With the property market remaining open during the latest lockdown, Prime Outer London experienced its largest rise in five years in October with a 0.9 per cent quarterly price increase, according to the latest research from independent real estate consultancy Knight Frank.
This was propelled by the top three growth areas Belsize Park (3.2 per cent), Dulwich (2.3 per cent) and Wandsworth (2.1 per cent).
As tenant enquiries rose to their highest level in four weeks, house prices in London and the South East proved the fastest growing UK regions based on e.surv’s latest House Price Index, produced by Acadata.
House prices have grown 7.3 per cent on an annualised basis across Greater London, resulting in a £646,614 average across the capital. Relative to 4.3 per cent annual growth in the South East, and 4.4 per cent across England and Wales as a whole, London has exceeded regional & national benchmarks predicated on exceptional growth of prime assets especially.
The Knight Frank Prime Global Cities Index notes that, in a similar pattern to the immediate aftermath of the 2008 global financial crisis, current economic uncertainties are prompting buyers to increasingly favour premium property. Considering the ongoing health pandemic, volatile equity markets, Brexit, and the repercussions from the US presidential election, the asset profile of real estate as a historically safe and tangible investment has bolstered its appeal.
Yomdel’s Property Sentiment Tracker found that, in the week ending 8th November 2020, new rental property enquiries rose 12 percent to their greatest level in four weeks, a 23 percent jump on the same week in 2019. This demand momentum has catapulted operational residential real estate (such as multifamily, co-living, student and senior living) into mainstream consideration as an investment class with diversification and resilience qualities preeminent.
In prime outer London, prices rose 0.9% in the three months to October, which was the highest such rise in five years, as more buyers seek outdoor space and greenery.