News
Market Comment
February 12, 2010
The picture remains mixed and outlook uncertain, as some of the heat that led the recovery in the London market in 2009 begins to die down. The forthcoming election, further taxes, caps on bonus payments and generally gloomy prospects for the economy should all combine to restrict transaction levels and growth this year.
However, these factors will be counter balanced by strong interest from far eastern investors who have returned to the market with vengeance, euro based buyers and cash purchasers all seeing and believing in the longer term merit of central London property investment particularly when considering their alternative investment options. Supply and demand remain critical factors in house price growth which is why such disparity occurs and quality central London stock so often out performs other areas.
The rental market has bounced back enabling buy to let investors on low interest rates clear distance between their income and outgoings providing the ability to hold onto stock.