Author Archives: Landstones

As summer comes to an end and the leaves signal that autumn is approaching, we take a moment to reflect on the past quarter, which may prove to be a pivotal period for the prime London property market.

Interest rates, which have dominated property news over the last three months, are now under control. Many major banks are offering highly competitive new products, and the pace at which these are being introduced has become frenetic. At Landstones, we’ve observed some buyers switching products, and even banks, during the transaction process to secure the latest rates.

This improved access to financing has directly led to increased activity in the sales market. Nationwide has reported a 45% increase in new properties entering the market compared to the same time last year, along with a 20% rise in buyer numbers. Landstones’ sales team has been overwhelmed with new transactions across all segments, from large family homes—which remain in short supply in prime West London—to one- and two-bedroom apartments being snapped up by first- and second-time buyers, now empowered by access to these new financial products.

The influx of capital into the lower end of the market will inevitable trickle up through the property chain, benefiting the broader sector.

The general election in July has also played a significant role in shaping the market. With a new Labour government set to introduce its own legislative changes to guide the market will in a direction it sees fit. While the full impact on demand remains to be seen, early signs suggest the stability brought by the new government has positively influenced buyer sentiment.

Landstones’ sales team has remained highly active in the Prime West London family house market, advising on several high-profile transactions for buyers who have been searching for over 12 months. The usual summer lull has not materialized in 2024, with most buyers choosing to stay focused on securing a purchase and taking advantage of favourable interest rates. We expect this momentum to continue well into the autumn market, and even as Christmas approaches, we anticipate activity will remain strong until the last moment.

London continues to attract overseas buyers and investment from across the globe. A surge of buyers from the Far East boosted prices and transaction numbers in Knightsbridge and Mayfair earlier this year. Meanwhile, Middle Eastern buyers remain highly concentrated in Knightsbridge, while American buyers are showing strong interest in family homes in areas like Kensington and Notting Hill, driving up demand for rare white stucco-fronted houses and large lateral apartments.

The Prime West London lettings market has also remained strong, with the Landstones lettings team experiencing several outstanding months. The limited availability of rental properties is driving prices higher, with tenant demand continuing to grow. In September, one key driver of demand has been overseas students returning for their studies, leading to some apartments being oversubscribed by as much as 25-to-1. Central London continues to offer positive opportunities for both homebuyers and investors, reinforcing its reputation as a safe haven during uncertain times.

Throughout August, the prime central London housing market has shown continued strength, buoyed significantly by easing global inflationary pressures. On August 1st, the Bank of England reduced the base rate from 5.25% to 5%, following two months of lower-than-expected consumer prices. The Landstones sales team saw a significant rise in buyer demand and inquiries toward the end of August, with many families returning from their summer holidays ready to make a move.

House price growth remains strong but modest, increasing stock levels are seen as a positive indication that people are now confident to buy. The largest growth in applicant numbers has been in the apartment market, with flats now almost 10-to-1 oversubscribed, even at this early stage of the September rush.

Despite high interest rates affecting the broader market, Landstones has seen prime areas of central London remain insulated from wider market trends. This is certainly not a new phenomenon, as many savvy London buyers invest here for that very protection; however, it is worth noting.

First-time buyers and those with financial support are driving apartment demand, and a busy autumn is expected as overseas buyers return in large numbers.

The prime West London lettings market has continued to strengthen, with several stellar months behind the Landstones lettings team. The availability of rental properties is driving prices higher, and tenant demand is only increasing. One key area of demand in September comes from overseas applicants returning to study, leading to many apartments being at least 25-to-1 oversubscribed. The central London market continues to present positive opportunities for both home buyers and investors, as London remains a safe port in any storm.

The prime West London property market has demonstrated strength, resilience, and stability following the recent general election. The election results have provided much-needed clarity, particularly boosting buyer interest in the mid to high-end market sectors. Notable areas such as Kensington and Notting Hill have experienced consistent and rising demand over the last month, with many family buyers now focusing on finding a new home with renewed vigour. We expect to see the market to grow steadily, bolstered by continued interest from both domestic and international buyers.

Many industry Q1 reports underscored robust demand in both sales and lettings, particularly in prime locations. Central London continues to attract international investors seeking long-term value. The lettings market is still seeing very high occupancy rates driven by limited supply and substantial demand. The technology sector has emerged as a significant source of new tenants, alongside finance professionals. Notably, EU tenants now account for over 50% of new lets. With a sustained period of rising demand, tenants are remaining in properties longer, and renewals at higher rents have increased.

The outlook for the coming months remains optimistic, with stable prices and sustained interest anticipated. Banks continue to compete to gain market share in the post-election marketplace, with new products being launched almost daily. Interest rates are expected to decrease over the next quarter, with all eyes on the new Chancellor. Many institutions are looking to Number 11 for indications of the fiscal direction of the new regime.

 

The waiting is now over.

June has been a month of anticipation. With the election looming large in the minds of most prime central London buyers, the market seemed to be holding its breath. Many property owners have been stalling to see what the new government would bring, resulting in fewer properties entering the market. Despite this, buyer numbers remain very high, with the usual influx of new summer registrations and many families looking to move before the new school year starts in September.

Now, the waiting is over. The results of the general election are in, and while many are not surprised, it does represent a significant shift in the political landscape of the UK government. The Labour Party has committed to easing planning regulations in the development sector to achieve their ambitious target of creating 1.5 million new homes.

The mortgage market looks set to enter a period of fierce competition as inflation aligns with government target models and Bank of England base rates are expected to drop again. Many lenders are poised to launch a wide range of new products to capture market share across various borrower demographics. First-time buyer rates are coming down, and there are competitive products for buy-to-let investors and very attractive re-mortgage options.

Landstones’ lettings team has been overwhelmed by the start of the summer rush. This wave, delayed by several weeks due to relentless bad weather, has now been supercharged by the arrival of sunshine. Tenant registrations outstrip new instructions by 25 to 1, which can only mean one thing for summer lettings prices. If you have a property that is vacant or becoming available soon, please get in touch with the team, as we have an overwhelming number of high-quality new tenants.

As the year fly’s past we are heading to the end of the first quarter of 2024, if you can believe that. Looking back over the opening months of the year we are seeing a sales market returning to something more reminiscent of the pre-pandemic era. Prime central London is once again firmly on the map as a place to live, work and enjoy easy access to Europe for many buyers. The attraction of working from Greenwich Mean Time is still a popular draw for companies trading with America and the far East.

The domestic market is also showing extreme resilient and buoyance with vast numbers of buyers registering and the continual problem of lack of good stock driving prime central London prices ever upwards.

In a market with a finite number of properties there is always going to be the problem of a lack of stock. This is not something new and has been one of the defining factors of prime central London since the end of the Second World War. First time buyers always struggle to find affordable apartments and houses and many buyers who are moving up the chain, find that selling their property in a timely manner to purchase the next one is a tricky task. Landstones have seen this market characteristic become extremely acute in the family house market. The number of buyers we have registered on our books looking for family homes is the largest we have ever had. Houses between 8 and 10 million are extremely scarce and any properties that do come onto the market command an even larger premium price than normal. Many of the best in class houses we have launched this year have seen a frenzied viewing schedule as soon as they hit the market.

The mortgage market has been a stormy sea for the last couple of years with interest rates exploding out of the blocks after several conservative Prime Minister had to go at the job and we found to be wanting. With inflation on its way down and seemingly under control the Bank of England have indicated this may be the peak for interest rates and they’re looking to bring them down once inflation settles at around 3.5%. As a reaction to this, many banks are able to calibrate their mortgage product for only a few months so products are coming into the market and then being withdrawn in quite short order, however countering this is the fact that there are a record number of mortgage products available in the marketplace, more than we have ever seen before. Landstones advice to any buyer is to engage with a good broker who has access to the entire market and keep in touch with them updating products throughout the search process for a property.

This may be a well-trodden line now, but the lettings market is setting record after record for rent achieved across-the-board. Many landlords who are renting through Landstones are reaping the rewards of higher rents after a long period of feeling a little left out and slightly hard done by from government legislation designed to quell letting market. Unfortunately this government seem to have the wrong end of the stick and feel that driving landlords from the market will somehow bring rents down, unfortunately this is having the opposite effect of reducing the number of properties available and forcing prices up due to supply and demand in balance.

Coming into the spring market, Landstones are registering vast numbers of very good quality tenants, many coming from Europe in the banking sector as well as families coming from America and large numbers of applicants from the Middle East who are relocating to London for the summer.

Overall, we are seeing some very positive green shoots in the market for both sales and lettings. Landstones are carrying out record numbers of viewings and are desperately in need of more stock to let and properties to sell. If you are thinking of letting or indeed selling your property we would love to hear from you. Our expert team are happy to help with any advice property valuations and marketing strategy and look forward to hearing from you.

 

The prime West London property market in Q3 has seen an extremely mixed set of market forces driving both sales and lettings, supply and demand.

The prime lettings market continues to be dominated by the scarcity of quality stock which has seen rents continue to climb to record level and stay there. Some of this can still be attributed to the post Covid 19 re organising of the market, many tenants are still outside the traditional lease term paterns that usually dictate when the market is busy, such as spring/summer and September. Usually as large numbers of applicants enter the market at these times the stock arrives to meet them, this is still not the case for large numbers of properties. This type of market dislocation will inevitably wash through the system as the normal cadence returns to London.

London continues to be a top seasonal destination for many tenants choosing to summer here in order to avoid hot domestic summers and also to enjoy the world class shopping areas that London has to offer. With movement and flight restrictions no longer a barrier to these individuals London has once again seen the market for its ultra prime property boom.

Interest rates and regulation continue to put upward pressure on rents. Higher interest rates will make some landlords look to other asset classes for their pensions or savings pots. The ever growing regulatory interference from the government continues to make the prospect of being a land lord less attractive and financially burdensome. As a result of this the lack of lettings stock does not appear to be easing any time soon.

The prime central London sales market has also seen many competing pressures driving the rhythm of the market throughout the year. Landstones have seen a flurry of activity in the family house market with many families having outgrown their current properties during Covid and are now looking to make a move over this summer. The top priority for many families is still access to good schools and this makes a lot of moves of this type time sensitive. Again, lack of stock is the key factor here and many price records have been broken in late 2023.

Going into the September and autumn markets Landstones is predicting unsatisfied demand and lack of quality stock to be the main driving factors. Inflation seems to have been stemmed by the governments policy of raising interest rates and banks are now looking to pass new lower rates onto borrowers. Global elements, such as the Ukraine war, extreme summer heat levels in many countries, and unstable domestic currencies continue to bring overseas buyers to the capital, while concerted ‘’Return to Work’’ policies along with greater financial opportunities are bringing domestic buyers and tenants back in large numbers.

If you have any questions or would like to discuss your property requirements please get in touch with our knowledgeable and professional team who would be happy to help.

The prime central London property market has seen a steady increase in the level of activity across all sectors in the first quarter of 2023. The most significant market trend is still the lack of rental property and the subsequent rise in prices due to the supply constriction.

Although we are seeing a slight increase in lettings stock, demand still far outstrips supply and we are not anticipating this to change. Many landlords are still looking to other sectors for their savings pots. The landlords who remain in the market are reaping the benefits with many Landstones clients receiving record rents at present.

The mortgage market has recovered from its initial turmoil with interest rates currently at 4.25% and indications the government is positioning to reduce rates as soon as its confident inflation has been capped. Mortgage Lenders have begun to expand product availability giving buyers better choice of products and better rates further fulling activity in the property market.

The prime central London market has remained strong, despite the uncertainties associated with the post pandemic. Economy. There has been an increase in demand for luxury properties in prime locations and this trend is likely to continue throughout the year. Prime central London is still seen as a very safe haven for foreign investors and overseas money which drives an underlying level of demand for prime luxury homes all year round. Buyers have been moving into the market with US dollars to take advantage of the weaker pound with many large family houses going to American buyers.

Family houses have been selling very well in the early part of 2023 and we anticipate this trend to continue into the spring and summer as the better weather brings out families after work to look at outside spaces and gardens.

In conclusion, the Q1 property market has been growing by the day. The lettings stock is still low, but increasing, while record-breaking lettings prices are being achieved. The mortgage market is stable, and the prime central London market remains strong. Family houses are selling very well.

If you have a property to sell or would like our advise on your rental portfolio please do get in touch with the team at Landstones, we would be delighted to help in any way we can.

As we move into 2023 and put thoughts of Christmas behind us, we’re already taking stock of January and how the property market has kicked off.

The lettings market has continued in much the same vein as it finished in 2022. A huge lack of stock across the board from one-bedroom flats to five-bedroom houses has forced tenants into mass competition for the best properties. Rents have risen at record rates from the bottom of the covid depression up to all-time highs across prime West London.

The government’s policy to burden landlords with ever greater tax and regulatory obligations in order to drive stock from the rental market onto the sales market has done nothing at all. It’s constricted lettings property supply, driving rents up and resulting in tenants paying more for less choice, less overall confidence and stability.

We predict the current fundamentals of the lettings market to continue for the foreseeable future. Landlords will be in the driving seat, a position they’ve not found themselves in for some time. It’s important to use this advantage to secure not only the best possible price but also the best possible tenant.

Banks have begun to adjust longer-term mortgage rates as they continue to compete to attract new customers. The turmoil in the mortgage markets following last year’s mini-budget seems to have now flushed through the system leaving behind an average additional 2-point uptick in overall rates.

As with the end of 2022, the prime central London sales market continues to be starved of good quality stock. Pent-up demand for best-in-class family houses will see the first vendor to the market in early spring inundated with viewings and may well result in several large sales coming very early this year. Expect prime properties to be going to sealed bid situations.

Landstones has a positive outlook for the market, and for landlords.

If you’re thinking about selling or letting your property, please get in touch as we’d love to help with your property needs.

Notting Hill, London is famous across the world. Perhaps due to the romantic comedy, Notting Hill, but also because of the things to do, things to do and the recognisable, Stucco-fronted houses on every road.

Here are the spots we recommend you have a look at when you’re in town.

Portobello Road Market

This is a treasure trove of antiques, oddities and pretty much anything you can imagine. Lining Portobello Road, this is a world-famous market you don’t want to miss out on.

The Churchill Arms

This is one of London’s most famous pubs. And yes, it really does have a £25,000 yearly flower budget. It’s really something to behold and the perfect photo opportunity.

The blue door from “Notting Hill”

The widely-known blue door from the movie, Notting Hill is the second door on Westbourne Park Road, number 280.

Lancaster Road

If you’re in need of a photo spot or just fancy basking in a rainbow, Lancaster Road is for you. You’ll no doubt have seen this road online before, it’s simply beautiful.

Grab a coffee

Our favourite coffee spots in Notting Hill are Sally Clarke and Hermanos. And we visit daily.

Street food market

Tucked away at the top of Portobello Road, Acklam Village Market offers cuisines from across the world.

Electric Cinema

For the cinematic experience, head to Electric Cinema. Or more specifically, one of their double beds, preferably with a nice blanket to huddle under.

The Distillery

The Distillery boasts three boutique bedrooms overlooking Portobello Road. This hotel also offers two bars, The Resting Room, and a cocktail spot, The Malt Floor.

Notting Hill Carnival

Every August bank holiday, the streets of Notting Hill are flooded with a remarkable dancing parade and people really go all out on the costumes.

What are your favourite spots in Notting Hill?

We’re proud to have been featured in Gerald Edelman’s The Property Round newsletter again this month.

Martyn, our Managing Director, speaks about looking forward on the property market in 2023.

Have a read for yourself, here.