The property market: Is the cavalry coming to our rescue?
Summary
The article argues that the London residential market remains under pressure, with prime central London values weakened at the top end and apartments facing excess supply. It also notes that developers are using increasingly aggressive incentives to move unsold stock, while planning reform and housing delivery targets remain uncertain.
Why it matters
Surveyors working in London and other high-value markets need to understand where pricing, demand and developer incentives are shifting, as these affect valuations and comparables. The discussion of planning delays and new housing delivery powers is also relevant to development viability and pipeline risk.
Key points
- Prime central London homes above £15m-£20m have been hit by reduced demand from international buyers and non-doms.
- Refurbished, ready-to-occupy properties are holding up better than unrefurbished projects requiring long build times.
- London apartments are facing excess supply, with developers offering incentives such as stamp duty contributions and mortgage subsidies.
- The article says Help-to-Buy contributed to oversupply and aggressive sales tactics in the new-build market.
- Planning reform and mayoral intervention on major schemes are presented as potential supports for housing delivery, but with uncertain results.
This is an RPSA summary of a publicly available article. The full content remains with the original publisher.
