The 2021 sales market concluded with a flurry of activity and it seems that buyers decided that this was the year to commence with their moving plans.
The good news is that the ‘pandemic’ appears to be receding and as a result our buyer base is once again becoming more cosmopolitan, as opposed to predominantly domestic. This is already helping to increase the volume of sales transactions in the Royal Borough of Kensington and Chelsea.
Sterling is continuing to strengthen against a basket of major currencies and overseas buyers seem to be aware that the advantages of a purchase, optimising currency plays, are diminishing. However, with sales prices adjusted from the higher levels of 2014, value is definitely evident and very apparent in the Royal Borough of Kensington and Chelsea, but there does now seem to be the start of some upward price momentum. Interest rates, albeit with the recent nominal increase, also remain just off historically low levels, which is encouraging buyers to lock into competitive mortgages to buy properties whilst they still can, which is also further driving demand.
With all that in mind, the UK is still the preferred business destination for international companies now we have a deal with the EU, the UK’s advanced business infrastructure, first class service industry, favourable business taxes, the GMT time zone, the English language and the fact that London is one of the best cities in the world to live! The London residential market is still one of the most desirable places in the world and that has not changed.
With the start of 2022 we have begun to launch a string of new instructions and interestingly, on the last 3 properties we have listed, all have attracted multiple interest and subsequently pushed over their guide price. Pricing, always remains very important, as we move from what has been a sensitive market, but if properties are correctly priced, there are definitely suitable buyers around who will pay a good market price, if not more.
Julian Chambers | Director