Simon Heawood, CEO of Bricklane.com comments:
“London has seen a fall in the price of prime and super prime properties in areas like Kensington and Chelsea which has principally contributed to a fall in the average house price. The reality is that in the areas and segments of the market where most in the Capital would be able to buy, prices are still rising. In many ways it’s a good time to be a buyer, and our London property fund has felt this effect strongly.
Outside London the market looks to be in good health, particularly in key cities like Birmingham where YoY growth was over 6‰ and Hometrack projects the market has a further 20-30‰ to move. Most of the UK’s ‘gateway’ cities boast attractive demographic trends and benefit from significant investment and infrastructure projects. As such they are increasingly attractive as places to work and live, and offer greater prospects than London for home-ownership and investment alike.
If today’s report shows anything it is that the structural undersupply of housing persists across the UK, and this will continue to drive pricing: those who can participate stand to benefit. What is needed now are solutions which give everyone the ability to own a stake in the market, no matter how much they can afford, and which give investors the opportunity to rationalise their portfolios.