Yahoo Finance Maida Vale, Hampstead among prime London areas with most property price reductions
Maida Vale and Hampstead offer the best chance for high-net-worth homebuyers to secure a bargain in London’s property market, and they will want to stay away from Soho and Fitzrovia, research by mortgage broker Enness Global revealed.
The firm looked at homes across London’s most prestigious neighbourhoods that are listed at £3m ($4m) and above, and highlighted what percentage of them have seen their priced reduced in order to secure a buyer.
The research showed that across London, 21% of all properties listed at £3m or above have seen a reduction in price.
READ MORE: The 10 most valuable areas of the UK property market
In Maida Vale, this was true for 38% of homes. Hampstead, St James’s and Pimlico also rank high, with 31% of all prime property stock listed having seen a price reduction.
Kensington, South Kensington, Regents Park, Victoria, Westminster and Bayswater also rank within the top 10 for the largest percentage of homes above £3m to have seen their prices reduced.
Soho is not the place to buy if high-net-worth buyers are looking for a good deal. Of all properties listed above £3m, just 6% have seen the asking price dropped, while Fitzrovia has seen just 9% of these homes reduced in price.
Group CEO of Enness Global Mortgages, Islay Robinson, noted that “a combination of Brexit uncertainty and the current pandemic has seen many sellers reduce their asking price expectations in order to secure a sale.
When you couple this with the current stamp duty savings on offer and the weaker pound, the prime London market presents a very attractive option at present.”
“Of course, not everywhere presents a property discount and those with the smallest percentage of price-reduced properties indicate where the London market is currently at its hottest where high-end homebuyer demand is concerned,” he added.
It was reported last month that UK house prices fell by 0.5% this month, despite aspects of renewed coronavirus restrictions driving strong demand and as sellers rush to beat the stamp duty deadline.
Property website, Rightmove (RMV.L) said that the average price of a property coming to market this month was down by £1,505 ($1,980) compared with last month.
The fact that, despite new coronavirus restrictions, activity in the housing market has been allowed to continue, has alleviated some uncertainty, which, in turn has slightly buoyed demand.
And recently, a growing trend of bulk buying has been noted among foreign property buyers across the UK, so that they can boost their stamp duty savings.
WATCH: What do stamp duty cuts mean for buyers and house prices?
