There has been a notable fall in residential property prices in London which present canny investors with a genuine opportunity to bag a bargain before prices inevitably recover, according to Douglas & Gordon.
The independent estate agent perceives the existing uncertainty in the market following the EU vote as a window of opportunity to acquire good value for money property in the capital, and is urging investors to act now because it believes prices are currently at the bottom of a ‘V-shaped’ dip, enabling buyers to acquire previously unaffordable homes.
Douglas & Gordon’s latest property report states that homes in the capital have fallen by as much as 4.3% over the past quarter, with large houses in prime areas of London experiencing some of the largest price falls.
But while many vendors are currently more willing to negotiate on asking price, prospective buyers, including investors, are benefiting from The Bank of England’s decision to ease credit conditions following the UK’s decision to leave the EU, as banks have been given licence to lend more, while a potential cut in interest rates next month could potentially reduce already record-low borrowing rates further.
Douglas & Gordon CEO James Evans said: “After two years of property uncertainty we are now seeing very good conditions for homeowners to trade up to larger properties.
“Overseas investors are already taking advantage of the weaker sterling against the US dollar post-referendum, and making the most of opportunities within the capital. However, our latest figures show that it is not just investors who can benefit from the current market conditions, and those who are looking to move into bigger properties, may be in for a welcome surprise.”