The London Barometer June 2011
Friday, July 15, 2011 by Douglas And Gordon
Sales: June 2011
“June hasn’t offered any relief from the current drought of properties on the market. With 20% less stock compared with June last year,
and 10% fewer applicants, demand is diminishing at half the rate of supply.
“Consequently buyer demand continues to outstrip the supply of good properties in London ensuring prices remain steady. Most of the
properties sell because they have been priced realistically.
“It is a great market for vendors, but not for anyone involved in the service side of UK Property plc like moving companies, builders or
surveyors etc as, quite simply, lower demand means fewer people are moving.”
Ed Mead, Director
Lettings: June 2011
“We have seen close to a 30% decrease in rental properties coming to the market in June 2011 compared to this time last year and a near
30% decrease in tenants choosing to terminate their current tenancies compared with last June, which highlights that tenants understand how
difficult it is to find a new rental property and are opting to stay where they are.
“The shortage of available properties and increasing rental prices in London is encouraging tenants to stay put, opting to renew to avoid the
higher asking rents on new stock. Our figures show long term tenancies are becoming more commonplace and we expect to see the number
of tenancies ending each month to decline further.
“Over 50% of our tenancies due to end in June have renewed and 64% of these landlords decided to increase the rental price, the rest preferring
to keep their tenants happy and avoid any void periods.
“Traditionally, June and July are two of the busiest months for the lettings market especially amongst the families wanting to move in time for the
new academic year. With many families choosing to remain in properties in their chosen catchment area, there is currently a severe shortage of
suitable family homes in London.”
Virginia Skilbeck, Director
Download the June Barometer here - d&g_june_london_barometer.pdf