West London house prices still climbing - eh?

happinessfactory

On Friday we got a call from an estate agent to tell us that three houses which had had offers on them in the Spring had fallen through and were now back on the market.
Yesterday we looked them over and each one has come back on the market at a much higher price than before - £50k being the average increase.
This morning, the best of those houses went under offer again – at £30k more than the asking price.
How can this be happening given the four interest rate rises since the Spring, and the so-called ‘turmoil’ in the credit markets? I keep reading about bonus cuts in the city and redundancy fears, but they seem to have made absolutely no difference to the speed of deals or the relentless increase in prices.
Whilst I recognise my partner and I are very lucky to be able to consider buying a house at all, I’m beginning to despair of ever finding a place...

gemma.zhang

which part of west london are you looking at. We live in Ealing, and have been looking since April. It's MADNESS over here.. There was a 3-bed vicitorian terraced on the street we're looking, got sold at the end of March, no idea about the sale price, asking price was 315k at that time. Now for some reason, it's back on the market again at 349.995k. Totally madness, I was laughing at who will pay that 35k more !!?? .... a few days afterwards, it's under offer.. FAINT !!! .. don't know the actual offered price, however, i doubt will be anything below 340k.

Mad !!! .. no idea !..... just too much profit for that 5 months!!!

happinessfactory

Hi Gemma, thanks for sharing the pain! We're looking in Shepherd's Bush, having sold our flat in April...and despite having negotiated an extended completion we're now off the ladder and renting.

I keep an eye on property prices using ourproperty.co.uk but the ceiling price on each street I'm interested in just seems to get higher and higher every month regardless of what's happening on the news or elsewhere in the country.

We're now looking at prices of £500 per square foot even in the less popular (ie seedier and further away from the tube) streets. MADNESS, where are these people getting the money???

jonewer

Yes, I know the feeling. One place around here in staines - a 2 bed viccy terrace so narrow you could probably touch both walls by stretching out your arms and a front door that opens smack onto a dual carriageway - went for £210 and then three months later was back on the market for £239. Couldnt believe it when it sold within 2 weeks.... to say its madness is an understatement...

Jonbvn

Not involved in the W1-W12 housing market. However I do find such comments very interesting.

It would seem that sh@t will really hit the fan in the City shortly, with significant job losses and poor or non-existent bonuses. With the exception of very high end property, you will hear the bubble burst.

jonewer

Jonbvn wrote: »

It would seem that sh@t will really hit the fan in the City shortly, with significant job losses and poor or non-existent bonuses. With the exception of very high end property, you will hear the bubble burst.

Not so sure anymore, given that Darling has shown himself willing to incur any moral hazard for the sake of the next election. Dont be suprised if we have a rate cut before christmas and then its up up and away all over again....

Romani_Ite_Domum

happinessfactory wrote: »

This morning, the best of those houses went under offer again – at £30k more than the asking price.

How do you know this? The amount that is.

Alleycat

We're in Hammersmith living with the folks. Us and our toddler shoved into one bedroom with most of her toys, all our clothes etc. When we decided to move back to London to be closer to family it was reasonably affordable. That was two years ago. Its total madness round here now. Our road used to be rough as sandpaper when I was growing up, now our neighbours have friends like Hugh Grant coming round for dinner, my old primary school had Nigella Lawson as a parent!!

Go away all you posh people I say and let us proper locals have somewhere decent to live!!

mstar

what about harrow? not sure which is better north/east/west/south

pollyanna24

Harrow is expensive too as far I know. Too expensive for me to go have a looksie anyways. I live about 10 minutes away from Harrow, just inside Watford (I didn't realise they were that close either!).

I prefer living just this slightly bit out of London, always seats on the trains cos I practically get on at the first stop and it's nice and green around. Couldn't pay me (well I guess it depends how much) to move further back into London now. My parents live in Edgware, yukky.

happinessfactory

Romani_Ite_Domum wrote: »

How do you know this? The amount that is.

The estate agent told us when we phoned up to put an offer in (we were planning to start negotiations at 5% under asking price). I'd literally just begun with "We loved the house in xxx road" and the EA said, "that's gone under offer with the other agent this morning and they're not going to show anyone else round unless they're willing to offer above £xxx" (ie. 30k above the new asking price).

I was just speechless after that.