Findings from the Hamptons International ?Heat Map? reveal that most postcodes across the prime central London property market are holding up well despite the recent market slowdown and credit crisis.
Overall, there has been an increase in the average price paid per square foot across 24 London postcodes including SW10, W11 and W8, versus a decrease in 20 London postcodes such as EC1, EC2 and WC1.
The research identifies three postcodes within prime central London – SW10, W11 and W8 ? generate the largest positive change in terms of sale prices achieved per square foot, with the average price growth for these postcodes hitting 5.9% for the quarter.
At the opposite end of the spectrum, the Hamptons research identified an interesting trend within the City market, with the price paid per square foot in EC1 and EC2 falling 4.1% and 5.6% respectively.
Rob Bruce, research manager says, ?This is perhaps the first illustration that buyers are no longer chasing prime residential property in the City?s financial heartland with the same verve as early 2007. Early indications of bonus expectations suggest this trend may continue through Q1 2008.?
The Hamptons research revealed that the top-ten most expensive postcodes are now all found north of the river, with a quarterly average price growth of over 2%. Conversely, nine out of the ten areas with the lowest price per square foot are found south of the river. The price per square foot ranged from a low of £255 for a property in Sydenham (SE26) to £2900 for a property in Knightsbridge (SW7). Across the London market, as a whole, the average price was £778 per square foot. (Data based on sales and instructions across the agency?s branch network in London).
From an investment perspective, the research revealed that prime central London is now expanding, with a number of areas previously on the verge experiencing strong growth over the quarter. This was particularly the case with SW11 (up 5.4%) and SE1 (up 4.8%).
?Both SW11 and SE1 present excellent investment prospects and demonstrate the value of casting your net just outside prime central London to secure stronger return over the coming months,? concludes Rob Bruce.