Timing is of the essence in everything. Enthusiastic about the stamp duty holiday and an increased emphasis on quality of life and working from home, many young Londoners are poised to take the leap of faith. By leveraging their families for a cash injection or spent the last lockdown saving.
When is a good time to look for Property?
There is no harm in starting to look, as many estate agents advise its seems like we are in a balanced market considering everything that is going on.
There are people looking at moving out of London, which means there is a healthy stock level, which means as a buyer you have many options and can weigh up the best possible outcome for you.
On the other side of the coin if you find your ideal property you will be placed in a massive queue of buyers who are currently trying to buy and waiting weeks, and months for simple mortgage surveys and conveyancing.
Should I buy now?
The simple truth is that there is never a perfect time to buy property as you will wait forever, but be cautious in your approach, figure out what you can afford to pay on the mortgage every month along with other expenditures.
Our view is that considering the low-interest rates which you can take advantage of and you are fully committed to staying in London medium to long term and have a deposit ready, along with secure employment then start the search and see if the properties that are on the market can be perfect for you as a home.
Very important is not to set yourself a deadline to buy, or you might end up regretting your purchase. Avoid getting into a bidding war, even if you’ve found the perfect property for you. There are many different alternatives in London.
Predicating property in 2021?
Predicating property prices is a science that has not been mastered yet, however, the general consensus is that property prices will grow slowly over the next few years.
Estate agents that are registered with the National Association of Estate Agents (NAEA) forecast that London property prices could grow between 12% – 15% by 2024.
Historically the property prices have gone up by 6.9% since the 1980s.
Impact of Brexit on property prices and commercial property?
Potentially, rumors are that essential goods prices will go up, which may impact your ability to pay a mortgage, but the reality is that no one can predict property prices and what will happen in January.
Our advice is mentally prepared and ready to deal with short-term issues for potential long term gains.
Shall I purchase before the Stamp Duty holiday ends?
This is an obvious one for us if you can then go ahead and buy, a potential saving of client money (your money) could be up to £15,000 on buying costs.
Due to the stamp duty holiday, house prices have risen fastest in the last four years
In the grand scheme of things, it seems though £15,000 isn’t much considering London prices, you could use that money towards chartered surveyors fees, your deposit, or even estate agency fees, which could provide more spending power.
When buying or selling property every little helps and this could mean moving from a one-bedroom flat to a two-bedroom flat considering London property prices.
Impact of interest rates, being low right, should I wait?
There is always 2 sides to the coin, interests rate are very low, however, mortgages are currently hard to attain if you do not have the required deposit. It’s all about when is the right time for you, as mentioned if you are insecure employment and have a deposit then keep on the lookout.
Is London still a good investment?
It seems like working from home is here to stay in the near future which is potentially encouraging buyers to look outside of London. Historically, from an investment perspective landlords will always find investing in London the best approach in the long run.
Always ask the advice of your residential letting agent, as well as any other property professional to get a better perspective.
When normality is resumed London will still have great infrastructure, established public transport, not to mention the lifestyle of one of the most sought out cities in the world. London will always be the center of investments of local, national, and international buyers
Take a look at our current properties on the market and if you need any further advise please feel free to contact us.