£5m+ sales performed best in London last year ‘despite mini-budget’

The top end of London’s property market recorded the strongest performance last year with sales 63% higher than their pre-pandemic average.

prime property

The top end of London’s property market recorded the strongest performance in terms of sales during 2022, data from LonRes reveals.

Sales were 63% higher than their pre-pandemic average for properties priced at £5 million and above.

The resurgence in the top-end market has also led to an increase in new instructions of homes priced £5 million and above.

INSTRUCTIONS

New instructions in Q4 2022 were 74% higher than the pre-pandemic average.

Listings were 24% higher than pre-pandemic although this figure includes under offers.

The resurgence in the prime London market since the pandemic has led to an increase in not just sales but also more vendors bringing their homes to the market.

As higher demand has led to a recovery in prices and sales over the last couple of years more people have also been tempted to list their homes for sale.

Meanwhile rents continue to rise rapidly due to a lack of available homes.

Anthony Payne, LonRes
Anthony Payne, LonRes

Anthony Payne, Managing Director of LonRes, says: “The final quarter of the year saw a change of direction thanks to the political turmoil of the Truss government and resulting financial market stress.

“While financial market conditions are improving, activity across the prime London market was lower in the final quarter of the year.

“We’ll be keeping a close eye on how the market unfolds in the months ahead.”

While the prime London housing market started 2022 with a boom, political and financial events did put a dampener on the final quarter.

AFFECTED

Payne adds: “While all parts of the prime London market were affected by the turmoil in the final quarter, it was the top-end of the market that proved to be the most resilient throughout 2022.

Properties sold at £5 million and above recorded the highest growth in sales.”

“Properties sold at £5 million and above, might form a relatively small part of the prime London market at around 8% of sales, but it is this market that recorded the highest growth in sales during 2022 when compared to the pre-pandemic average.”


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