March 25, 2021
West Hampstead Property Market Improved by 240.6% Over Pre-pandemic Levels
Has there ever been a better time for West Hampstead home sellers?
The West Hampstead property market, for people looking to sell, is at its sturdiest for at least the last five years with home buyers jumping onto the West Hampstead property ladder with abandon.
West Hampstead house prices are anticipated to rise throughout 2021 after the Stamp Duty cut (and subsequent extension until the autumn) and the newly revealed 95% mortgages for West Hampstead first-time buyers (and West Hampstead homeowners with minimal equity).
In addition, the continued low interest rates and the demand for larger homes because of lockdown means the West Hampstead property market should remain bullish for a while. There is a surge in potential buyers putting themselves on mailing lists with West Hampstead estate agents, making the biggest disparity between supply and demand for West Hampstead property for many years.
Fears of a cliff edge for the West Hampstead housing market at the end of March have dispersed, somewhat due to the Stamp Duty tax deadline extensions, but also because the elevated level of buyer demand caused by the three lockdowns has continued to swell since the start of 2021, meaning that today …
72% of West Hampstead properties on the market are Sold (STC)
Interesting, when utilising data from theadvisory.co.uk website, the West Hampstead average for the last five years has only been 21%, meaning there has been an uplift of 240.6% in the proportion of West Hampstead properties sold (stc) compared to that five-year average.
Yet what can’t be forgotten is that 9 out of 20 West Hampstead house sellers are also West Hampstead house buyers as well, so whilst they do indeed achieve a higher price for their West Hampstead property, they also have to pay more for the West Hampstead property they want to buy.
So, how much will West Hampstead house prices rise by?
Like all things in life, it’s all about demand and supply. I have discussed the demand, yet what about the supply of properties for sale?
There are 15% fewer West Hampstead properties for sale today compared to 5 years ago
Whilst February saw a lower-than-normal level of new properties coming onto the West Hampstead property market, the easing of lockdown roadmap and faster rollout of the vaccine is also persuading more West Hampstead homeowners (especially those older West Hampstead homeowners who have had their jabs) to start making the first steps towards moving home in 2021.
This will mean there will be more West Hampstead properties available for sale in the conventionally busier post Easter market in the coming weeks and months which should cause more equilibrium and help keep West Hampstead property prices in check.
These are interesting times for the West Hampstead property market. If you are a West Hampstead homeowner or West Hampstead landlord looking to buy or let your West Hampstead property in the coming weeks or months, don’t hesitate to drop me a line to discuss what all the points raised in article mean to you.