How is the London market?

heyya99

I was about to buy a 2-bed in September in Surrey Quays, London. The asking price was 600k and I got it agreed at 550k. I lost my job so pulled out. The flat since went for 505k.

Now I'm back in the market. Have prices fallen? I don't see asking prices have. One agent (Foxtons) is telling me that right now, the market is picking up and not to wait. Another agent said asking prices are still the same but that, depending on circumstances, sale prices are lower.

Who do I believe?

Windofchange

An estate agent telling you that prices are booming and better be quick or you'll miss out? Never...

Depends where you are looking to buy. I think the news that prime London is falling is spreading, but seems people are still piling in at the lower end. I'd say if you are looking at new build in the 600k region be very careful. The example of the flat you were going to buy should be shouting loudly at you - 100k of negative equity.

Ed_Zep

A friend of mine lives in SE London and says it's quietened down a bit. For Sale signs staying up for longer. He's talking about run of the mill 3 bed semis.

I hope prices collapse.

lincroft1710

Foxtons do not have the best reputation among London EAs.

glasgowdan

Ed_Zep wrote: »

I hope prices collapse.

Says every potential house buyer ever, followed by "and shoot up after I've bought".

SG27

glasgowdan wrote: »

Says every potential house buyer ever, followed by "and shoot up after I've bought".

I bought 4 years ago and I still hope they collapse. Id like to buy a bigger house soon and have no hope currently!

kilby_007

glasgowdan wrote: »

Says every potential house buyer ever, followed by "and shoot up after I've bought".

Most people who've given it any thought wouldn't want them to shoot up after they've bought. How would it benefit them or future generations? It's like wanting the food in your cupboard to go up in value. Pointless.

cashbackproblems

yep anyone who just owns one property and looking to move in the future shouldn't wanted prices to increase by much it doesn't make sense

I have bought in SE London and have found its a quietened down massively compared to last yr, prices haven't fallen much but they are are not selling for months if at all. I had a friend in NW London who bought a 2 bed for 500k having been listed for 600k. So if you offer do so a big chunk less.

bouicca21

I suspect the state of the market varies from one area of London to another. In my corner of south east London, a new build flat was difficult to sell even at the height of the bubble at an eye watering £750k. Two years later it's up for sale again, still at £750k, and still difficult to sell.

On the other hand local estate agents are leafleting and cold calling as they don't have enough properties to sell. Prices have clearly levelled off and i think it is once again possible for buyers to offer under asking price without being laughed at.

chucknorris

heyya99 wrote: »

I was about to buy a 2-bed in September in Surrey Quays, London. The asking price was 600k and I got it agreed at 550k. I lost my job so pulled out. The flat since went for 505k.

Now I'm back in the market. Have prices fallen? I don't see asking prices have. One agent (Foxtons) is telling me that right now, the market is picking up and not to wait. Another agent said asking prices are still the same but that, depending on circumstances, sale prices are lower.

Who do I believe?

I posted this on another thread, it might give you an insight:

We've just sold two properties, well almost, one completed today, and we are expecting to exchange on the other next week. A 4 bed house in Hackney and a 2 bed flat in Battersea, both were on the market for about 5 months, and followed exactly the same pattern. Both properties were valued higher than we anticipated, we both thought that the agents were being optimistic. However both properties were under offer for the asking price (£1.1m and £475k) within a week, then both buyers dropped out, and eventually they were sold for just over £1m and £440k (still waiting to exchange on the latter), which was more or less bang on what we originally valued the properties at.

Cakeguts

There are only 172 properties listed for sale on Rightmove in my local area. That is not a lot.