Private bank Coutts have said that demand for 1 million pound plus high-end London properties in the country’s capital has increased in the last year despite the rest of the property market beginning to struggle. Coutts have said that 13% more of these types of properties sold in the 2nd quarter of 2022 than the decade average.
They have also noted that these types of properties are also on average 7.8% more expensive than the same time last year, showing that despite the rising housing market, the top priced properties and the high-net-worth people who can afford them, are still a booming market.
Most Expensive Areas In London
Currently the most expensive areas to purchase a property in London are:
- Knightsbridge: Average property value £2,895,882
- West Brompton: Average property value £2,502,838
- Kensington: Average property value: £1,355,898
- Chelsea: Average property value: £2,301,617
- City of Westminster: £1,822,140
- Mayfair: £6,207,822
The most expensive property listed in London on Rightmove right now is a four-bedroom townhouse in Mayfair on the market for an eye-watering £55,000,000. If someone was able to get a 90% loan to value mortgage on the property (£5,500,000 deposit) they would probably need to earn a minimum of £11,000,000 a year. To put that into perspective!
The cheapest area by far to purchase a property in London or surrounding London is currently Barking and Dagenham where the average house price is £300,517. Still £19,356 above the UK wide average of £281,161.
Regarding the price difference between properties in the high-end areas of London like Mayfair and Knightsbridge and outer London, Coutts says this currently sits at 58%, which is up from 49% at the start of 2022.
Commenting on the high demand for upmarket London properties, Coutts real estate investment service director Katherine O’Shea had this to say:
“Competition for luxury property across the capital is fierce this quarter as buyers are keen to snap up prime property. Whilst the ‘race for space’ that defined the pandemic is still being seen, central London is bouncing back. With the capital in full swing, homeowners are keen to be at the heart of the action.”
What The Mortgage Experts Say
South-London based mortgage and protection brokerage Oportfolio had this to say:
“Being based near these high-end areas of Chelsea, Fulham, West Brompton, means that we get to see first hand the absolute awe of these beautiful properties. Over the years we have helped hundreds of high-net-worth individuals purchase their dream homes and mortgages of 1 million pound or have become something of a specialty for us. Although the rest of the property market seems to be slowing a bit, it is good to see that the more boutique and up-market homes are still a booming market.”
If you or someone you know is looking to purchase a high-end property in London or need a larger than average mortgage loan, please feel free to give our advisors a call today to see what deal we can get you.