|Hammersmith Property Market Shows First Signs of Revival|
With strong demand from families for traditional terraced homes
Like neighbouring Fulham, the property market in Hammersmith appears to be showing the first signs of a revival, despite uncertainties caused by Brexit.
The latest figures from the Land Registry show that while the volume of sales remained very low, the average price of both flats and houses rose during the third quarter of 2018.
This meant the overall average price was up by 19.1% from the previous quarter, to £1,007.480.
The average price of flats were up by 6.2% to £716,111, in spite of the fact that buyers are continuing to choose older homes rather than Hammersmith's new build luxury apartments.
The vast majority of flat buyers chose the traditional market, with sales ranging from ex-local authority properties in estates like Lampeter Square and Adeney Close with prices around £400,000 to larger flats in desirable areas like Hammersmith Grove changing hands for around the million pound mark.
Terraced homes had an even bigger boost, with the average price jumping up by 13% to
The second highest price of £3,450,00 was achieved by a terraced home in Luxembourg Gardens, off Brook Green, pictured below.
However, most of the family homes in popular area such as Brook Green and Brackenbury were sold with price tags starting from around £800,000 to around two million pounds.
Chris Kerr of local agents Kerr and Co says that despite the current climate, the Hammersmith market is 'stable and resilient' - mainly due to demand from families. He says, " We have received calls from many prospective buyers who are conscious of the potential impact of Brexit and interest rates.
"The shortage of school places tends to lead to a increased demand for homes in the catchment areas and in Shepherd’s Bush and Hammersmith this is no different. There are a number of outstanding local schools, which have remained high on the league table for many years.
" As a consequence we have noted a rise in young families who have traded up their flat to family house and have stayed local - many families move just a few roads away to be nearer a tube station for ease of access to their children’s school. The excellent transport links, incredible local facilities and exceptional community spirit this part of London offers are also driving factors in many peoples decision to remain locally.
"I firmly believe the west London property market is stable and given the broad spectrum of facilities and ease of access, it is a great place to put down roots."
The latest figures from the Nationwide's House Price Index show that prices nationally have continued to rise slowly with the average sale price now £214,534 up by 1.6% over the year.
Commenting on the figures, Robert Gardner, Nationwide's Chief Economist, said, “Looking further ahead, much will depend on how broader economic conditions evolve. If the uncertainty lifts in the months ahead, there is scope for activity to pick-up throughout next year. The squeeze on household incomes is already moderating and policymakers have signalled that interest rates are only expected to raise at a modest pace and to a limited extent in the years ahead.”
The October 2018 RICS UK Residential Market Survey results show the recent softening in new buyer demand beginning to feed into a slightly negative trend for national house prices in the view of the surveyors’ industry body.
The report says: "A sustained softening in demand over recent months has likely driven the weaker price trends in parts of the country. The net balance for new buyer enquiries ticked down to -14% in October (compared with -12% last month), marking three successive reports in which headline demand has deteriorated. Affordability pressures, political uncertainty and a lack of fresh stock coming onto the market all continue to hinder activity to varying degrees."
The report adds that new instructions to surveyors continue to fall meaning stock levels remain close to all-time lows and rendering any chance of a meaningful turnaround in the near future unlikely. A net balance of 30% of respondents reported the level of appraisals being undertaken to be down on an annual comparison.
Looking ahead, respondents in London and the South East were the most negative with price falls expected over the next twelve months.
Source: Land Registry
November 23, 2018