Market Update January 2024

Recent completion- Whittaker Street SW1W

During the last quarter of 2023, Dawes London completed property transactions for clients in Belgravia and Chelsea. In two out of three transactions, we successfully negotiated a 10% discount off the asking price. We have noticed that sellers are reacting more pragmatically to offers that they might have previously dismissed.

Recent completion- Oakley Street SW3

It’s essential to understand why discounts are being offered.  In some cases, the discounts may be due to irregularities with planning and listed building consent. While this can present an interesting opportunity, it's essential to seek expert advice and exercise caution.

Several other factors also need to be considered when evaluating the value of a property.   For instance, it's important to consider the historical comparable evidence for the street or surrounding streets. Are there environmental factors to consider such as road or tube noise?Does the property need re-wiring or re-plumbing? What is the outlook like? How much natural light does it receive? The list goes on and on.

“Value” is a crucial factor in the decision-making process, but it shouldn’t be the most important; don’t expect to find much blood in the streets of central London.

Central London Market Update

House prices did not plummet as expected last year, driven in part by a lack of stock and cash buyers, and most forecasters are predicting a relatively quiet year for UK property in 2024.

Usually, the market would see a General Election year as a time of uncertainty- remember the concern over the mansion tax? But with two relatively centrist leaders, the outcome does not feel like a massive threat to property prices.

The marketing forecasts are reading more and more positively; on Monday, Knight Frank revised its 5-year forecast for Prime Central London, up 10% from 8% to 18% growth by 2028.  So if there was a window to pursue value, that time is perhaps now.