Property Barometer February 2011

Tuesday, March 01, 2011 by Douglas And Gordon

Sales: February 2011
"New properties are finally beginning to come onto the market, replenishing the depleted stock levels we experienced for so much of the last year."

"Sellers are more savvy about overvaluations and if they aren't selling at the expected price, they are starting to talk at levels where an increasing number of buyers seem prepared to pay."

"Similar to last year, the market seems late but volumes will not get off the ground until May as vendors are choosing to launch their property after the April/May bank holidays and the Royal wedding."

"The impending 1% stamp duty rise on properties over £1million next month has generated a flurry of buyers hurriedly offering on properties to complete ahead of the rise. Whilst this has helped the number of sales in the first two months of this year, we're preparing for stock levels and interest for properties over the £1m mark to be less in the second half of 2011."

Ed Mead, Director

Lettings: February 2011
"With almost five potential tenants for every rental property, there is still stiff competition in the London lettings market."

"Low stock levels continue to shape the market, although this month we've seen a 30% increase in rental properties coming onto the market at our Chelsea office, which historically signifies a change in the market with the other offices following suit. Its too early to tell whether these increased stock levels will be seen across all areas of London for the spring and summer markets or whether this is just an anomaly."

"Our landlords are currently a mix of first timers who are relocating overseas and instead of selling up are letting out their homes; professional landlords and a few new buy-to-let investors."

"There is plenty of activity at the higher end of the market from £3,000 plus per week, where rents are not only significantly higher than this time last year but are achieving close to or in excess of the asking prices."

Virginia Skilbeck, Director