London Street

According to the latest house price index from Gov.uk, the number of completed sales in August 2016 has dropped across the UK when compared to last years stats. Completed sales in England has fallen by 20.3% (from 84,565 to 67,396) and has also decreased in Wales by 11.6% (from 4,025 to 3,558 sales). 

However, the stat which stands out is that London sales have dropped by a staggering 39.3% (10,881 to 6,607) when compared to last year.

This will see further demand for tradesmen with more homeowners improving over moving

Does this substantial decrease in our capital's sales reflect the first signs of panic from Brexit? Earlier this year, our research also found that 1 in 5 UK homeowner’s likelihood to move has been affected as a result of Brexit. These findings imply that homeowners are looking more likely to renovate than move at present, and not risk facing the unpredictable property market.     

Stephen Jury, Spokesperson for Plentific, said: ‘2016 has been a rollercoaster of a year for London’s property market but are we on the verge of the big dipper? As a result of Brexit, earlier this year we found 1 in 5 were less likely to sell their home. Now, with a lack of willing buyers, there has clearly been a shift from a seller’s market to a buyer’s market. This will see further demand for tradesmen with more homeowners improving over moving.’

London

However, despite the uncertainty surrounding the seller’s market, prices have not been reduced! This latest data also shows that the UK has had an annual price increase of 6.9%, taking the average property value to £216,674. Breaking this stat down, England shows an annual price increase of 7.4% (average property value of £232,655) whilst Wales has an increase of 4.4% (average property value of £147,065). 

London too has increased in price by 7.7% this year, making the average property value £474,475 in the capital. However, despite this overall increase in price, London prices did fall by 1.2% when compared with September’s data. So perhaps London has finally reached the tipping point of its climb in value!