The prime central London property market has seen a steady increase in the level of activity across all sectors in the first quarter of 2023. The most significant market trend is still the lack of rental property and the subsequent rise in prices due to the supply constriction.

Although we are seeing a slight increase in lettings stock, demand still far outstrips supply and we are not anticipating this to change. Many landlords are still looking to other sectors for their savings pots. The landlords who remain in the market are reaping the benefits with many Landstones clients receiving record rents at present.

The mortgage market has recovered from its initial turmoil with interest rates currently at 4.25% and indications the government is positioning to reduce rates as soon as its confident inflation has been capped. Mortgage Lenders have begun to expand product availability giving buyers better choice of products and better rates further fulling activity in the property market.

The prime central London market has remained strong, despite the uncertainties associated with the post pandemic. Economy. There has been an increase in demand for luxury properties in prime locations and this trend is likely to continue throughout the year. Prime central London is still seen as a very safe haven for foreign investors and overseas money which drives an underlying level of demand for prime luxury homes all year round. Buyers have been moving into the market with US dollars to take advantage of the weaker pound with many large family houses going to American buyers.

Family houses have been selling very well in the early part of 2023 and we anticipate this trend to continue into the spring and summer as the better weather brings out families after work to look at outside spaces and gardens.

In conclusion, the Q1 property market has been growing by the day. The lettings stock is still low, but increasing, while record-breaking lettings prices are being achieved. The mortgage market is stable, and the prime central London market remains strong. Family houses are selling very well.

If you have a property to sell or would like our advise on your rental portfolio please do get in touch with the team at Landstones, we would be delighted to help in any way we can.