New figures from property website Rightmove have shown Simon Morris that the average price for a house in London tumbled £30,000 in one month.
The Meteoric Rise of the London Residential Market
As a London-based commercial and residential property expert, Simon Morris acts in an advisory capacity to UK property investment funds looking to cultivate high returns on their property investment portfolios.
In 2014, Simon has watched as the London residential market, as well as the wider UK sector, experienced a meteoric rise. Yet new figures have shown the property investment consultant that the progress of the London residential market has been brought into question.
Average London House Prices Falls from £601,180 to £570,796
According to the Guardian, research from Rightmove shows that the average asking price for a house in Greater London slipped from £601,180 to £570,796 in November.
However this number isn’t necessarily indicative of the nature of the London house market as it stands. Figures suggest that the average house price in London is up 11.1% (£57,000) from December 2013. Meanwhile, the average house price across the UK fell by 3.3% in the space of one month.
“Overall Picture for the Year is Still One of a Much Recovered Market.”
Director and market analyst at Rightmove, Miles Shipside, shed some light on why average house prices are down across the board. Shipside noted: “Though sellers are fewer in number at this time of year, those that do come to market are often keener to sell so price lower in a bid to stand out.
“The overall picture for the year is still one of a much recovered property market, with sellers and their estate agents confident enough to be putting property on the market at a higher price on average than a year ago, although we predict a slower pace of price growth in 2015.”
Invest Effectively in the London Residential Market
In other words, despite this blip, overall trends seem to suggest to Simon Morris that the London residential sector, as well as the UK housing market overall, is set to continue to grow in 2015.
Therefore, by investing effectively in the London residential market, UK property investment funds can continue to take advantage of significant growth margins to generate high returns in 2015.