Property values in London rise at their fastest rate in 2 years
London property values are now less than £5,000 below their all-time high as the capital´s property market shows signs of completely eradicating the Brexit “deep freeze”.
According to the Land Registry, London´s average property value increased by 2.3 per cent, equal to £10,670, to £483,922 in the year to December 2019. This was the largest percentage increase since October 2017.
The Office for National Statistics (ONS) reported that over a quarter (27 per cent) of sales in December related to properties that were worth more than £900,000. During the two months prior, homes within this bracket account for 20 per cent and 21 per cent of sales.
The ONS said: “Purchases of very high-value properties may be particularly affected by considerations such as uncertainty, including around the effects of the UK’s withdrawal from the EU, expectations of actual or potential tax changes, and other factors.”
Property analysts said the increase of 1.6 per cent in December was a positive sign for a revival in the housing market after an unprecedented 18 consecutive months of falling prices up to August.
David Westgate from Andrews Property Group, said: “While the London figure may have been skewed slightly by sales of extremely high-value properties, the capital as a whole appears to have rediscovered its mojo.”