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13 January 2021
Prime locations within central London have been impacted the most during this pandemic. We have seen many areas drop in price for the rental and some sales markets. Especially in areas we didn’t expect. This has subsequently increased demand in areas such as Hoxton and Shoreditch in East London which area far trendier. However, prices in Shoreditch for example are on par with areas such as Notting Hill now, so we should see return to normality soon.
Many people were stating that Londoners were leaving the capital for the South-West and other parts of the country. In reality many Londoners decided to remain in London and those that fled the capital are slowly returning.
The industry one works in also effects the movement of people. Individuals working in Banking, Medical and Transport services have high job security so areas with people within certain industries have not been affected as much. These people remain and demand amongst these groups remains high.
The vaccine is here and this will definitely impact the housing industry. As a matter of fact, we expect to see a complete turnaround. People will flood back to London as they experience the more open areas and yearn for a more party central location. After all lifestyle is a very important factor for most of us.
We expect demand to increase for property in London in 2021. Prices will also be affected by this increased demand. We forgot to mention Brexit, the underlying pin in our country. Brexit will open the UK up to a lot more international investors who are cash rich. London has always remained a city that is highly desirable. The London brand will continue to attract people from all over the world. This will in effect impact house prices and rental rates in the capital.
Transport links are still being developed and areas with extended reach due to these links will do well in 2021. Areas such as Battersea will become more desirable due to its Northern Line links. Other areas will also do well due to regeneration and installation of elements such as cycle routes and so on. One must realise that these problems we face are short term and people are still thinking long term.
To conclude we feel that the capital will definitely bounce back and we are already seeing the signs. By April 2021 there will be huge shift back to these prime locations as vaccine distribution accelerates.
What does this mean for tenants?
I would personally secure properties now on slightly longer terms, if you job security allows it and tie down more affordable rates.
What does this mean for buyers?
With news of extending the stamp duty holiday and demand continuing to rise for homes in and around the capital, get on that ladder.
What does it mean for landlords?
Investment opportunities are still to be had.
This slump is a temporary thing and as I am aware property investment was always a long-term strategy. If it wasn’t why did so many landlords not exit the market in 2008?
Many people were stating that Londoners were leaving the capital for the South-West and other parts of the country. In reality many Londoners decided to remain in London and those that fled the capital are slowly returning.
The industry one works in also effects the movement of people. Individuals working in Banking, Medical and Transport services have high job security so areas with people within certain industries have not been affected as much. These people remain and demand amongst these groups remains high.
The vaccine is here and this will definitely impact the housing industry. As a matter of fact, we expect to see a complete turnaround. People will flood back to London as they experience the more open areas and yearn for a more party central location. After all lifestyle is a very important factor for most of us.
We expect demand to increase for property in London in 2021. Prices will also be affected by this increased demand. We forgot to mention Brexit, the underlying pin in our country. Brexit will open the UK up to a lot more international investors who are cash rich. London has always remained a city that is highly desirable. The London brand will continue to attract people from all over the world. This will in effect impact house prices and rental rates in the capital.
Transport links are still being developed and areas with extended reach due to these links will do well in 2021. Areas such as Battersea will become more desirable due to its Northern Line links. Other areas will also do well due to regeneration and installation of elements such as cycle routes and so on. One must realise that these problems we face are short term and people are still thinking long term.
To conclude we feel that the capital will definitely bounce back and we are already seeing the signs. By April 2021 there will be huge shift back to these prime locations as vaccine distribution accelerates.
What does this mean for tenants?
I would personally secure properties now on slightly longer terms, if you job security allows it and tie down more affordable rates.
What does this mean for buyers?
With news of extending the stamp duty holiday and demand continuing to rise for homes in and around the capital, get on that ladder.
What does it mean for landlords?
Investment opportunities are still to be had.
This slump is a temporary thing and as I am aware property investment was always a long-term strategy. If it wasn’t why did so many landlords not exit the market in 2008?
About the Author...
Deepak Bhopal is a seasoned estate agent with over 20 years of experience in the real estate industry. He began his career managing a thriving city branch, where he honed his skills in property man...
Read about Deepak