The latest Prime London Buyer Demand Index by London lettings and estate agent, Benham and Reeves, shows that buyer demand for prime London homes (£2m+) climbed during the final quarter of 2023, however, the super prime market (£10m+) continues to struggle.
The Prime London Demand Index by Benham and Reeves monitors demand for London’s most expensive properties based on the level of market activity seen between the £2m to £10m threshold and the super prime market of £10m+. Demand is based on the proportion of all homes listed for sale across the prime market that have already been sold subject to contract.
Prime Market – £2m-£10m
The latest index by Benham and Reeves shows that buyer demand across London’s core prime market climbed by +1.1% in Q4 2023, with just over one in five of all homes listed finding a buyer. However, demand remains down on an annual basis, albeit a marginal drop of -0.7%.
Chiswick was the hottest spot of the prime London market during the closing stages of 2023, with buyer demand levels at 52.1%.
Richmond enjoyed the largest quarterly uplift in buyer demand, climbing +10.9% versus Q3, with Chiswick again performing well with a +10.3% increase. Islington (+5.6%), Wimbledon (+5.5%) and Notting Hill (+4.7%) also saw some of the largest quarterly increases in prime London buyer demand.
On an annual basis, Putney (+11.4%), Clapham (+11.3%) and Highgate (+4.9%) have seen the largest uplifts in high-end market activity versus Q4 of last year.
Super Prime Market – £10m+
Across the super prime London market, demand fell by -3.4% in Q4 versus the previous quarter and remained some -11.9% below the levels seen in Q4 of last year.
Notting Hill was the most in demand area of the super prime market with 9.1% of all homes listed above £10m finding a buyer. Chelsea (8.5%) and Mayfair (5.7%) were also home to some of the highest demand for London’s most expensive homes.
Chelsea saw the largest quarterly uplift in demand for super prime London homes, up +8.5% versus Q3, followed by Holland Park (+4.3%) and Mayfair (+3.8%).
Mayfair was the only area to see a year on year increase in super prime demand at +1.5%.
Director of Benham and Reeves, Marc von Grundherr, commented:
“London’s top tier property market largely echoed the subdued market performance seen across the rest of the capital during the final quarter of 2023.
However, there are signs that these cooler market conditions could be on the turn, with buyer demand starting to climb across the core prime market, resulting in many individual neighbourhoods registering strong growth.
It may take some time yet before this growing market sentiment reaches the dizzying heights of the super prime market, although this segment has always been very much about quality over quantity to begin with. That said, as London’s high-end homebuyers continue to return it’s only a matter of time before this momentum flows up stream.”
Prime buyer demand (£2m to £10m) – Q4, 2023
Area
Prime category
Q4 2023
Q Change
Annual change
Richmond
Prime SW London
33.8%
10.9%
-2.6%
Chiswick
Prime SW London
52.1%
10.3%
0.4%
Islington
Prime N London
41.8%
5.6%
3.9%
Wimbledon
Prime SW London
40.7%
5.5%
-4.1%
Notting Hill
Prime C London
21.4%
4.7%
3.3%
Holland Park
Prime C London
17.7%
3.9%
-3.0%
St John’s Wood
Prime C London
10.5%
3.8%
-4.7%
Regents Park
Prime C London
15.4%
3.7%
1.1%
Putney
Prime SW London
41.9%
3.6%
11.4%
Highgate
Prime NW London
40.8%
2.2%
4.9%
Knightsbridge
Prime C London
12.1%
1.7%
0.1%
Clapham
Prime SW London
49.1%
1.6%
11.3%
Fulham
Prime SW London
21.1%
1.4%
-0.2%
Chelsea
Prime C London
13.5%
1.1%
-2.1%
Kensington
Prime C London
12.8%
0.8%
-1.4%
Marylebone
Prime C London
7.1%
0.7%
0.0%
Wapping
Prime E London
5.9%
0.6%
-3.2%
Barnes
Prime SW London
33.3%
0.0%
-4.5%
Fitzrovia
Prime C London
8.0%
-0.1%
4.2%
Belgravia
Prime C London
10.6%
-0.4%
-6.1%
Victoria
Prime C London
10.6%
-1.5%
-7.0%
Battersea
Prime SW London
16.1%
-1.6%
-2.4%
Pimlico
Prime C London
7.7%
-1.8%
-5.7%
Mayfair
Prime C London
7.7%
-2.0%
1.2%
Maida Vale
Prime C London
10.4%
-2.9%
-3.2%
Hampstead Garden Subur
Prime NW London
11.6%
-5.4%
-6.5%
Canary Wharf
Prime E London
0.0%
-7.1%
-4.2%
Wandsworth
Prime SW London
25.5%
-8.3%
-0.8%
Overall average
20.7%
1.1%
-0.7%
Super prime buyer demand (£10m+) – Q4, 2023
Area
Prime category
Q4 2023
Q Change
Annual change
Chelsea
Prime C London
8.5%
8.5%
-1.0%
Holland Park
Prime C London
4.3%
4.3%
-1.9%
Mayfair
Prime C London
5.7%
3.8%
1.5%
Knightsbridge
Prime C London
2.5%
0.2%
-2.5%
Highgate
Prime NW London
0.0%
0.0%
0.0%
Battersea
Prime SW London
0.0%
0.0%
0.0%
Putney
Prime SW London
0.0%
0.0%
0.0%
Fulham
Prime SW London
0.0%
0.0%
0.0%
Regents Park
Prime C London
0.0%
0.0%
-4.2%
St John’s Wood
Prime C London
0.0%
0.0%
-9.4%
Maida Vale
Prime C London
0.0%
0.0%
-11.1%
Marylebone
Prime C London
2.9%
-1.6%
-8.8%
Notting Hill
Prime C London
9.1%
-3.4%
0.0%
Kensington
Prime C London
1.6%
-3.8%
-1.8%
Hampstead Garden Subur
Prime NW London
0.0%
-6.7%
0.0%
Belgravia
Prime C London
2.2%
-8.0%
-6.6%
Victoria
Prime C London
0.0%
-11.5%
-15.4%
Fitzrovia
Prime C London
0.0%
-12.5%
-20.0%
Overall average
1.7%
-3.4%
-11.9%
The Prime London Demand Index by Benham and Reeves monitors demand for London’s most expensive properties based on the level of market activity seen between the £2m to £10m threshold and the super prime market of £10m+. Demand is based on the proportion
of all homes listed for sale across the prime market that have already been sold subject to contract.
Data sourced from Rightmove and Zoopla and correct as of 28/12/2023
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About the Author
Established in 1958, Benham and Reeves is one of London’s oldest, independently owned property lettings and sales agents. With specialism in residential sales, corporate lettings and property management in prime areas of London, the company operates from 21 prominently located branches and 15 international offices.