THE PROP­ERTY

Harefield Gazette - - PROPERTY -

IN­TER­EST­ING fore­cast has been made by global real es­tate agents Jones Lang LaSalle (JLL), who spe­cialise in all ar­eas of UK proper ty, with promis­ing news es­pe­cially if you live in the London com­muter belt.

ting in The Daily JLL have fore­cast a price growth of 13 per cent dur­ing the next six months for homes on the out­skir ts of the city and in the sub­urbs within the M25 – out­strip­ping the three per cent pro­jected growth of prices of the cap­i­tal’s cen­tral bor­oughs of Knights­bridge, May­fair, Kens­ing­ton, Chelsea and Bel­gravia.

Adam Chal­lis, head of res­i­den­tial re­search at JLL, said: “London hous­ing mar­ket has found a new equi­lib­rium which re­mains ro­bust, but per­haps a lit­tle less frothy than it has been. We have fore­cast price growth in the com­muter belt well ahead of the rest of the UK… owing to an over­weight of de­mand.”

re­search ex­plained that it ap­peared the in­crease in com­muter belt value may be as a con­se­quence of the re­ces­sion, as de­vel­op­ers then con­cen­trated on build­ing luxur y homes in London’s cen­tral bor­oughs to cap­ture both over­seas and do­mes­tic buy­ers. sup­ply of new-build homes, and sec­ond-hand proper ty com­ing to the mar­ket, has helped to bal­ance de­mand and damp­ened the run­away prices seen in the cap­i­tal dur­ing the past year. added that the ap­proach­ing elec­tion has cooled de­mand for ‘plush’ homes of £2mil­lion-plus and, with a pos­si­ble man­sion tax in the ar­moury, the de­mand for homes in that bracket will fall.

Mr Chal­lis fur ther com­mented that: “shor t the house price ‘bub­ble’ is sim­ply not a re­al­ity for most of the UK.

are only mod­estly above av­er­age and are typ­i­cal of a re­cover y cy­cle where de­mand is mov­ing ahead of the sup­ply re­sponse in both the new-build and sec­ond-hand mar­kets.”

He was also crit­i­cal of the an­tic­i­pated moves by the Bank of

to in­ter­fere with the hous­ing mar­ket by com­ment­ing that “…with the majority of house­holds in the UK only see­ing a mod­est im­prove­ment in the value of their homes over the past year, after five years of weak or fall­ing prices, ef­for ts to cool the na­tional hous­ing mar­ket re­cov­ery seem heavy-handed and pre­ma­ture.”

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