Record number of London property sales agreed at the start of 2022

The end of lockdown restrictions and a return to working in the office, is helping to fuel the current demand for residential properties across London.  The start of 2022 has been exceptionally busy and enquiries from homebuyers are rocketing.  In fact, this has been a record start to the year for us – our busiest January and February to date, with our highest number of sales agreed and several exchanges going through already, in the space of just a few weeks.

With so much activity from buyers and sellers, we expect March to be a record month for exchanges too.  Many buyers are keen to secure their chosen property before house prices start to increase, so this rising demand is continuing to filter quickly through to sales agreed and completions.

A busy spring ahead for property sales in London

Of course, spring is usually the busiest time of the year for the property market and since February half term we have been seeing more new properties coming onto our books (as well as more potential homebuyers registering with us), particularly in North London.

This is likely to pick up further in the coming weeks, particularly larger properties which will be sought-after as families look to move home and get settled before the new school term in September.

This intense activity means we are low on stock, and we need more new instructions.   So, as always, we would like to talk to sellers ready to put their property on the market.   With demand outstripping supply, conditions are currently weighted very much in favour of sellers.

Post pandemic – how is the London property marketing evolving?

If current performance is an indicator, 2022 looks as if it will be the year when London property regains its position at the forefront of the UK property market, having experienced subdued demand during the pandemic when many professionals chose to leave London and head for the countryside.  But our post lockdown lives are still having an impact on buyers’ choice of location – this time in reverse.

With many companies encouraging their workers to return to work in the office, at least for part of the time, some London professionals are once again keen to find a home closer to their place of work, for convenience and to improve their quality of life with a shorter commute.

So while this won’t be the case for everyone, there is a gradual shift back towards the centre of London for some and, as a result, demand is picking up for flats in central London and the City.   Buyers could be looking for a permanent home but might also be searching for a pied-a-terre to use as a base during the working week.

Demand picks up for properties in Canary Wharf

As a result, areas like Canary Wharf are once again coming to the forefront. The financial district has a buzz to it again and our Canary Wharf team has already had four sales agreed in the last month, from a brand new apartment at South Quay Plaza which we sold for the full asking price of £1,439,000, to several apartments at smaller residential blocks.  These properties were sold both to investors and for the owner’s own use.  We’re also seeing the return of overseas investors looking at off-plan purchases.

As the market steps up a gear we are now receiving more requests to carry out valuations in Canary Wharf and The City but we do need more stock to meet growing demand.  Many apartments are now selling for close to asking price but the key is to accurately price the property in line with the current market.  As ever, buyers are demanding value for money.

Exceptional demand for apartments at Beaufort Park

Beaufort Park in Colindale remains extremely busy.  By the end of February we had already received 20 new instructions at the development and five sales were agreed in the final week of the month alone.  Since the beginning of January we have had a total of 40 sales agreed on apartments at this highly sought-after residential development.

The development is a hotspot for buy-to-let investors who recognise its huge appeal to renters (and healthy rental yields), thanks to its high spec apartments, excellent facilities and transport links.

There is also a growing Chinese community here, with many BNO visa holders from Hong Kong moving to the area as it becomes more well-known.

Plot of land in Highgate sells for £500k over asking price

Over the last few weeks, we have seen a fierce bidding situation in Highgate, with 14 offers being made on a single plot of land.  This went to sealed bids and eventually the land was sold for £500k over the asking price.  Of course, land rarely comes up for sale in Highgate so this is an unusual situation but it is a clear indicator of the current appetite for property and land in prime North London.

Another interesting transaction currently in the pipeline is a mansion flat in Hampstead that our client bought through Benham & Reeves around five years ago.  After an extensive refurbishment the client came back to us to sell the property and we have just agreed a sale on the flat.

London property market likely to remain strong

So, the market outlook for 2022 remains very positive. Of course, a slight increase in interest rates and growing inflation will affect the market to some extent, but many buyers have saved quite considerable sums of money over the course of the last two years, so will have larger deposits and larger budgets than previously.

Contact us for a free market appraisal of your London property

With such pent-up demand from buyers and investors, far outstripping the supply of properties available, we urgently need new instructions across London.

Call our sales team now or your nearest Benham and Reeves international office to arrange a free market appraisal of your London property.

READ MORE: Where the London property market is headed in 2022