London house prices?

Author
Discussion

Justayellowbadge

37,057 posts

242 months

Tuesday 22nd December 2015
quotequote all
We live in this world:

http://www.rightmove.co.uk/property-for-sale/prope...

Rates of increase may well slow, but that's it I suspect. No crash.

Bluebarge

4,519 posts

178 months

Tuesday 22nd December 2015
quotequote all
Brexit could have a big impact. If you plan to stay there over 30 years, inflation and the passage of time will mean it's not an issue, but over a 10 year period, if Brexit happens and a large chunk of the City decamps to Euroland, that would make some big waves in the London property market.

So, how long do you intend to stay there?

delta0

2,348 posts

106 months

Tuesday 22nd December 2015
quotequote all
Brexit is almost certainly not going to happen so I wouldn't really make that a reason not to buy. It is all a show to get a few things changed but in the end the majority will certainly vote to stay.

Harry Flashman

19,329 posts

242 months

Tuesday 22nd December 2015
quotequote all
Plan was 10 years, but with no real problems if we stay for life: it's why I insisted on something big, rather than a smaller but similar priced period terraced house...

If we stay in the new house for more than 10 years, we'll sell my current home and pay down the mortgage.

Although, if we leave the EU, all bets are off in terms of London House prices, as I think the City (which fuels so much of this - not just the super-rich, but middle managers/execs like me) will be impacted to an unknown degree. I moved into doing London-based US business for many reasons, but hopefully my career would survive our leaving Europe. Lady F's definitely would (she works for a Swiss company)

vixen1700

22,849 posts

270 months

Tuesday 22nd December 2015
quotequote all
Mate of mine's mum just sold her very normal looking, run of the mill terrace house in Leytonstone for £455k.

Absolutely bonkers!

romeogolf

2,056 posts

119 months

Tuesday 22nd December 2015
quotequote all
The rate of growth will slow in house prices as interest rates rise and fewer people can afford to purchase a home to live in. Lots of small 1-bed and 2-bed flats being built, but far fewer larger homes. While the prices of smaller homes may rise slower, the "medium"/"average" ones will continue. At the top end of the market I would expect to see similar results as the bottom end with prices cooling, but not dropping.

The change to stampduty rules may gently ease some of the growth as well, but is likely only to maintain higher rents which will probably continue to increase as they have been.

gibbon

2,182 posts

207 months

Tuesday 22nd December 2015
quotequote all
vixen1700 said:
Mate of mine's mum just sold her very normal looking, run of the mill terrace house in Leytonstone for £455k.

Absolutely bonkers!
I would no way be selling that.

vixen1700

22,849 posts

270 months

Tuesday 22nd December 2015
quotequote all
gibbon said:
I would no way be selling that.
Really?


gibbon

2,182 posts

207 months

Tuesday 22nd December 2015
quotequote all
vixen1700 said:
Really?
Indeed.

vixen1700

22,849 posts

270 months

Tuesday 22nd December 2015
quotequote all
gibbon said:
Indeed.
I'm intrigued.

Surely they can't go higher than the bonkers level they are now.

delta0

2,348 posts

106 months

Tuesday 22nd December 2015
quotequote all
romeogolf said:
The rate of growth will slow in house prices as interest rates rise and fewer people can afford to purchase a home to live in. Lots of small 1-bed and 2-bed flats being built, but far fewer larger homes. While the prices of smaller homes may rise slower, the "medium"/"average" ones will continue. At the top end of the market I would expect to see similar results as the bottom end with prices cooling, but not dropping.

The change to stampduty rules may gently ease some of the growth as well, but is likely only to maintain higher rents which will probably continue to increase as they have been.
Unfortunately there isn't really net gain in the number of properties as they are also knocking down a lot too, in many instances more than they are building. This commonly occurs when tower blocks are knocked down for 3 floor blocks.

Barely anyone is selling properties in London and any hint of falls like last time actually tends to cause the market to grind to a halt. You will always have work in London and it makes it really hard for the market to be affected by anything.

Hackney

6,826 posts

208 months

Tuesday 22nd December 2015
quotequote all
Justayellowbadge said:
We live in this world:

http://www.rightmove.co.uk/property-for-sale/prope...

Rates of increase may well slow, but that's it I suspect. No crash.
Jesus Christ, where I'm from you can get a comparable house for 1/10 of that
http://www.rightmove.co.uk/property-for-sale/prope...

And the area isn't over-run by tennis loons for two weeks every June

vixen1700

22,849 posts

270 months

Tuesday 22nd December 2015
quotequote all
Hackney said:
Jesus Christ, where I'm from you can get a comparable house for 1/10 of that
http://www.rightmove.co.uk/property-for-sale/prope...

And the area isn't over-run by tennis loons for two weeks every June
hehe

http://www.rightmove.co.uk/property-for-sale/prope...

Just round the corner from where I was born. smile



Edited by vixen1700 on Tuesday 22 December 14:59

Hackney

6,826 posts

208 months

Tuesday 22nd December 2015
quotequote all
IATM said:
It actually blows my mind that there are people crazy enough to spend that much money on some of the rubbish properties available in london
We've just started looking at what;s out there with a view to moving in Aug / Sept next year.
We live in Harrow at the moment and need 2 bed, but would like 3 bed. It's soul destroying. My wife and I both have good jobs and are putting together a reasonable deposit.

Having said that we're looking further and further out, at some pretty ropey looking properties. There's just nothing for normal people on normal salaries!
There's a lot of development going on near us, so I've looked at the websites.
"one bed properties from £450,000"
"studios from £350,000" etc, etc, etc

And these are places in Colindale, Edgware not Notting Hill or Knightsbridge.

CAPP0

19,566 posts

203 months

Tuesday 22nd December 2015
quotequote all
I work in Docklands and the amount of new-build residential going up here is incredible. All around are massive resi towers, either up or planned. For example, either side of South Dock there are two towers about to go up, one, The Madison, is 53 floors, the other nearly as big, and there are several others nearby in various stages of completion. Prices in the Madison haven't been released yet but the feeling around the offices here is that even the smallest apartments will be knocking on the door of £500k.

Either a LOT of developers are going to catch a massive cold, or they believe prices are only going to go in the same direction as their skyscrapers.

NewNameNeeded

2,560 posts

225 months

Tuesday 22nd December 2015
quotequote all
IATM said:
Hackney said:
London house prices are mental. They've been mental for a while. They'll stay mental.
It actually blows my mind that there are people crazy enough to spend that much money on some of the rubbish properties available in london
Agreed, but not so sure they are crazy. I grew up in a tiny village in Derbyshire and moved to London about a decade ago. It took a long time to accept the prices of property in London and to join in the madness. Prices have continued to rise in that time though. Our last place (3 bed semi) went up in value 50% in under 3 years without any significant spend on it, sold in under a week of going on to the market, from one single open house event, and those buying from us were first time buyers.

TwigtheWonderkid

43,317 posts

150 months

Tuesday 22nd December 2015
quotequote all
vixen1700 said:
I'm intrigued.

Surely they can't go higher than the bonkers level they are now.
My uncle said that when he sold his Victorian terrace in Fulham for £27K in 1973!

EJH

932 posts

209 months

Tuesday 22nd December 2015
quotequote all
Harry Flashman said:
- SE London is the one to watch, specifically places like Catford. Grim centre, lovely Victorian streets of houses nearby. Watch for middle class local pubs opening
I can’t but help agree with this…but would add Lewisham to the list as well. Overground to London Bridge, DLR to Canary Wharf / Bank and (eventually) the Bakerloo extension (maybe).

Blackheath was never that cheap but has got considerably more expensive in the last 18 months (and estate agents’ definitions of Blackheath have become more broad, including the east side of the A2 which isn’t really Blackheath) and Deptford has changed beyond recognition (with plans to change similarly in the next few years as well).

These are the thoughts of someone who has spent the last 18 months looking for a house (with garage) in SE London…

princeperch

7,922 posts

247 months

Tuesday 22nd December 2015
quotequote all
gibbon said:
I would no way be selling that.
In leytonstone decent 2 bed free holds start about 450 now, but some go a bit higher.

A very crap looking 1 bed has just sold on my street for 310 but it did have a garage at the back of it.

There is a lot of odd prices being achieved here too, such as this sort of thing

http://www.rightmove.co.uk/property-for-sale/prope...

(Which is really a 2 bed)


vixen1700

22,849 posts

270 months

Tuesday 22nd December 2015
quotequote all
princeperch said:
In leytonstone decent 2 bed free holds start about 450 now, but some go a bit higher.

A very crap looking 1 bed has just sold on my street for 310 but it did have a garage at the back of it.

There is a lot of odd prices being achieved here too, such as this sort of thing

http://www.rightmove.co.uk/property-for-sale/prope...

(Which is really a 2 bed)
I know Chichester Road well, just round the corner from Napier and Matcham Roads.

Never imagined they would be worth so much walking past these places from school in the early '80s. They were 'just normal' houses. hehe