Whilst the Spring period for the prime central London property market proved to be uninspiring, this was matched by some of the wettest weather experienced in decades.
At the beginning of the year analysts predicted double digit price falls in the market. We can report property prices in general have remained stout with many vendors unwilling to react to global financial pressure following Covid and the conflict in Eastern Europe.
We are very much in a period where vendor and buyers expectations are not aligned and this can be partly down to mixed conjecture.
The period of Covid was an unrealistic time where there was a frenzy of activity and people were focused to move and change their home experience driven by the fact they were at home more than ever before.
Whilst we are seeing for the first time in over a decade the rise of interest rates back to levels last experienced in 2005, I think the market place needs to see this as normalisation. Global low interest rates are gone for the foreseeable future and the race for space inspired by the pandemic is over.
The predictions made by the analysts were correct and it is due to the financial weight of the prime central London property market why prices did not come down as quickly as predicted or hoped by buyers.
We are still seeing a steady influx of enquiries, but for the level of transactions to increase levels as seen in the last couple of years, I would predict vendors will need to lower their expectations to align where buyers see the value of the property market.
There are signs that prices are being corrected and with a healthy activity of new enquiries, we anticipate transactions will improve in the summer period.
If you are looking to sell or buy a property, do get in touch and we will look to meet your property needs.