Property transactions in prime central London rise in 2019
There has been a rise in the number of transactions completed in prime central London across the first nine months of 2019, according to the latest data released by Knight Frank.
The estate agent has said it recorded an 11% increase in prime central London transaction between January and September 2019 compared to the same period last year. In prime outer London, transaction volumes were broadly flat compared to 2018.
Knight Frank attribute the rise in activity to two main factors – the fact prices in central London have now adjusted to the higher stamp duty rates, and “the Sterling discount” overseas buyers can now benefit from as the pound falls in value against other major foreign currencies.
It also stated that “pent-up demand” was playing an important role in stabilising the market. The ratio of new prospective buyers to new property listings was 14 in September, the highest level in more than ten years.
Elsewhere, the number of tenancies agreed by Knight Frank in London increased by 39% in the year to September, which was the highest such rise in more than a decade.
“Irrespective of the large build-up of demand in the sales market, political uncertainty generated by Brexit has prompted more people to rent,” said Tom Bill, head of London residential research at Knight Frank. “The tenant fee ban, which was introduced in June, has further driven demand by reducing upfront costs.”