|Chiswick House Prices Averaging Over a Million|
Market appears to have reached yet new heights in recent months
The average price of a property reported to the Land Registry as sold in Chiswick since the beginning of October is over one million pounds.
One local agent said that the Chiswick market is "positively booming", while another said the year had started at "a fearsome rate".
There have been 98 transactions since that date in the W4 post code area at an average of £1,047,390.
The Land Registry is due to release official numbers for the fourth quarter of 2013 in the second week of February but at this stage it looks like the market hit new highs towards the end of last year. Some local agents believe the average may fall below a million due to the tendency of higher priced sales to be processed more quickly.
The period includes the sale of Zachary House at £6,850,000, the second most expensive residential property to change hands in Chiswick. If you exclude this from the average prices would still appear to be at record levels although just under £1,000,000.
The findings have not surprised local estate agents who commented thus:
Christopher Bramwell, Head of Savills West London region www.savills.co.uk comments: “The property market in Chiswick performed excellently last year, with Savills Research finding average values up by 61% since 2008, at least 10% higher than this time last year. 2013 was a record year for our office, with deals keeping us busy until Christmas Eve. Buyers from the UK are still the most prominent in the Chiswick market, but international purchasers are becoming more prevalent, particularly in the £1m-£2m price bracket.
"We continue to see a stream of buyers migrating from Prime Central London and work particularly closely with our Notting Hill, Kensington and Brook Green offices. The market is 2014 as started at fearsome pace, January 2014 has been the best January to date, with a strong appetite of buyers however a shortage of property for sale.Looking ahead Outer Prime London is forecast growth of 6% in 2014, rising to 22.7% by 2018. We’ve got an exciting number of new developments coming to the market in the area, particularly in Ashlar Court, where there are number of beautifully renovated two bedroom apartments available, conveniently located for both Ravenscourt Park and Stamford Brook tube stations.”
Alastair Hilton of Winkworths (http://www.winkworth.co.uk said : "We experienced a very strong market in Chiswick in 2013 and were rather expecting 2014 to be quieter. So far though, it has been anything but. There has been an enormous number of new buyers registering from day one of this year. We have also noticed an increased demand this month in houses as opposed to flats. This has resulted in higher prices being achieved for several Chiswick homes. Buyers are continuing to be sensible though in the amount that they are borrowing and I am now predicting a strong market as we come into the warmer (hopefully) months."
Christian Harpur of OLIVERFINN http://www.oliverfinn.com/ commented: ‘Although I agree with the findings of the RICS unfortunately their data is already dated. The Chiswick market is positively BOOMING. I have seen at least a 10% increase so far this year due to a complete lack of stock. Asking prices 20% over previous records are still not high enough with 20 to 40 buyers falling over themselves making bids £100k over the asking price are not uncommon.
"Although this is good news for many, it is making buying in Chiswick more and more exclusive and unreachable to the majority. In my opinion prices will begin to slow over the next few months as more stock comes to the market and the number of buyers begins to level due to medium term concerns around interest rates and property taxation. I don’t consider a sudden drop to be on the cards, especially with a general election around the corner however if you plan to sell within the next couple of years, I would consider capitalising now, rather than waiting’."
Paul Connolly, Managing Director of Orchards of London http://www.orchardsoflondon.com said: "2014 has started positively in the Chiswick property market with good levels of sales and lettings enquiries from buyers and tenants.This continues the momentum created by a much improved market in 2013 which saw leading property website Rightmove report a 21% increase in visitor traffic year on year.
"Whilst the level of property coming to the market is currently a little behind that needed to meet demand, we feel certain that, as confidence amongst sellers, in particular, increases, this imbalance is likely to reduce and the market will operate strongly and effectively.
"Prices have been rising and some excellent sale values are being achieved. Whilst rental values have steadied, strong yields are still being obtained and landlords are also gaining from capital growth. Many landlords are taking the opportunity to increase the size of their portfolios through further purchases. Interest rates remain low and look set to do so for at least the next year and news of the general economy is positive with reducing unemployment and increasing levels of growth. This is creating greater confidence which, in turn, underpins the market."
The Georgian house has more than 8,500sq ft of internal space including six bedrooms, a library, staff quarters, two balconies and three terraces and overlooks Oliver's Island.
According to the RICS Residential Market Survey, the number of homes sold per chartered surveyor in London reached its highest point since October 2010 in December as the recovery in the capital’s property sector continued.
Over the festive period, the average number of transactions per surveyor in London, reached 16 - over treble that of the lowest point of the downturn back in February 2009 when respondents were selling a mere 6. With more sales now going through, growth in demand for rented accommodation has fallen again as a growing number of renters opt to test the sales market.
Meanwhile, with the amount of homes coming onto the market still nowhere near enough to meet the higher level of demand, prices continue to rise. In London during December, a net balance of 99 percent more chartered surveyors reported growing prices. Significantly, every area of the UK saw prices increase with London and the South East experiencing the biggest jumps.
Peter Bolton King, RICS Global Residential Director, commented: “The housing market is starting to thrive once more. Sales are at their highest level in almost six years and this is being reflected right across the UK. Growing availability of affordable mortgages has released some pent-up demand from a market that, in recent years, has seen many viable buyers unable to enter the market. On the face of it, this seems like good news but unless we see a marked increase in the number of homes coming up for sale we could well be looking at a price rises becoming unsustainable in some areas.”
The October data from Land Registry's House Price Index shows that London remains the best performing property market in England and Wales. The average price of a home in the capital rose by 8.7% over the year to £390,720 although it was slightly down on the previous month.
For the country as a whole prices rose by 3.1% which takes the average property value in England and Wales to £165,515. Repossession volumes decreased by 29 per cent in August 2013 to 1,200 compared to 1,682 in August 2012.
The most up-to-date figures available show that during August 2013 the number of completed house sales in England & Wales increased by 15 per cent to 74,767 compared with 65,014 in August 2012
The number of properties sold in England and Wales for over £1 million in August 2013 increased by 27 per cent to 1,104 from 871 in August 2012
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October/November 2013 Property Sales in Chiswick
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Source: Land Registry
February 3, 2014