Best areas for east London new home buyers:price growth tipped for fast-rising hotspots outperforming central London

https://bluecrystallondon.co.uk/tackling-home-identity-fraud-on-on-a-rental-property-london-property-management/

House prices in east London have risen 37 per cent in the past five years, shielded from Brexit by long-term transformation and an unwavering desire to live in the coolest part of town. 

Property values in eastern boroughs have outperformed the rest of the capital since the peak in 2014, according to new analysis by CBRE. The cost of the average house in central London, for example, has edged up just nine per cent over the same period. 

Despite an inevitable cooling-off period in the hot London housing market, compounded by prolonged political uncertainty, homes in the East End continued to “outsell” the rest of the capital, explains Alexandra Cook of Savills.

The top five boroughs by five-year house price growth are all in the east: Barking and Dagenham (51 per cent), Newham (49 per cent), Waltham Forest (44 per cent), Bexley (42 per cent) and Redbridge (41 per cent). Prices have fallen two per cent in Hammersmith and Fulham in that time and nudged down one per cent in Kensington and Chelsea. 

“Buyers get much better value for money in east London and it’s a really accessible market for first-time buyers using Help to Buy,” says Cook. 

Top east London areas for homebuyers

Since the end of the Second World War the bombed-out East End, with its disused docklands, has become the epicentre of London’s regeneration. Sixties housing estates were followed by far grander schemes: the transformation of the Isle of Dogs into Canary Wharf, the construction of London City airport on the Royal Docks and the redevelopment of run-down Stratford to host the 2012 Olympic Games. But it’s still got a long way to go. 

Of the 541 tall buildings in the pipeline for London, according to New London Architecture, the bulk are in Tower Hamlets and Greenwich, while part of the Royal Docks is being turned into the Asian Business Port, which will generate 30,000 jobs and add £6 billion to the UK economy.

House price growth in this neck of the woods is therefore set to continue, outstripping the rest of the capital, says CBRE. Values in the east — defined as Barking and Dagenham, Bexley, Greenwich, Hackney, Havering, Lewisham, Newham, Redbridge, Tower Hamlets and Waltham Forest — will climb by 11 per cent over the next five years, the greatest increase forecast for any London region. 

A Crossrail upgrade for Ilford

House price growth in Redbridge is expected to outpace all other boroughs at 17 per cent as the Olympic effect and regeneration of Stratford spreads. Ilford is being upgraded as part of Ilford station’s redevelopment into a Crossrail hub. A total £7 million is being invested into the town’s other stations and 2,000 new homes will be delivered by 2021.

Architect Mark Ratke has bought a one-bedroom flat at The Paragon, a 141-home scheme in Ilford. Mark had been living in a flat share in Stoke Newington but was drawn to Ilford because of Crossrail. “I saw a future vision for the town and felt it was a good investment. The close proximity to Epping Forest was also important for weekend jogs.” One-bedroom flats at The Paragon priced from £280,000 are available with shared ownership. Buyers can purchase a minimum 25 per cent for £70,000, making the deposit £3,500. Call 020 3369 0365 (paragonapartments.co.uk).

Bexley and Barking and Dagenham complete the top three London boroughs by house price growth forecast over the next five years. 

East London's cool yet dynamic appeal

The appeal of east London is not just about lots of new homes at a cheaper price. The region has retained an intangible coolness that is spreading out from the likes of Hackney and Shoreditch along the train and Tube lines. 

CBRE’s head of residential research, Jennet Siebrits, puts this down to the emergence of the tech scene, bringing with it a new culture to east London which complements the existing one.

“Regeneration may have smoothed some of east London’s rough edges but it has attracted new residents who have helped it maintain its cool reputation — tech workers and creatives. A younger buyer is drawn by the lifestyle as well as by competitive house prices and rents,” says Siebrits. 

Savills is selling a new development just a 15-minute cycle from Silicon Roundabout at Old Street. Prices at Eagle Wharf Road, Hoxton, start from £600,000 for loft-style apartments overlooking Shoreditch Park. Call 020 3911 3648. 

“The people who move into the East End from elsewhere never want to change the vibe,” explains Savills’ Alexandra Cook. “They always want to help retain it. Every day there’s something going on, whether that’s a festival or arts event. We have a cycling culture and residents who are active in the community. It’s dynamic.” 

A nod to the past

Despite the volume of glass and steel towers planned in east London, there are plenty of projects that preserve its architectural heritage by retaining a feel of authenticity. Haggerston Baths is one such scheme. Architects Squire and Partners have submitted plans to convert the derelict Grade II-listed Victorian bathhouse into a community centre. The proposals include transforming the pool room into a gallery, café and gym. 

“Keeping the historic external fabric of the façade, the brick chimney and metal cupola will enhance the character of Haggerston,” says Julia Nicholls of Squire and Partners.

Deptford Foundry is another development designed to reflect the area’s industrial past. The 276-home scheme, comprising eight brick buildings and one tower, sits on the site of a former metalworks dating back to 1831. One-bedroom apartments start from £375,000. Help to Buy is available. Call JLL on 020 3962 3111. 

When it comes to interior design in the east, developers often move away from the traditional look. Telford Homes is launching its new villas at New Garden Quarter in Stratford this month. These upside-down duplexes have bedrooms on the ground floor and large living areas upstairs. Three-bedroom homes start from £725,000. Call 020 3930 2469.

The east of London, which has seen so much change, manages to move forward while celebrating its past and is now entering a new era of regeneration for the next generation.

Olga Derevianchenko bought a studio apartment in EcoWorld’s Aberfeldy Village, Poplar, modelled on the old East India Dock warehouses. Olga says she fell in love with the floor-to-ceiling windows and the view from her balcony of Canary Wharf at night. The scheme has a 24-hour concierge and a gym. Two-bedroom flats from £530,000. Call 0203 993 9158.

Graphic designer Hannah Smith used Help to Buy to purchase a one-bedroom flat in Upton Gardens, the conversion of the old West Ham stadium into 842 new homes by Barratt. “Being so close to the station means I feel safe walking home at night and my commute to London Bridge is really easy,” she says. Prices start from £359,000 for a one-bedroom apartment. Call 0333 3558496.

https://www.homesandproperty.co.uk/property-news/buying/new-homes/best-areas-for-east-london-new-home-buyers-price-growth-tipped-for-fastrising-hotspots-outperforming-a133471.html

London house prices:Brexit uncertainty slashes £13k off the average asking price of homes in the capital in one month

https://www.londonperfect.com/investors/buying-a-property-in-london.php

Political chaos combined with Brexit uncertainty have seen a significant drop in confidence in London’s property market – with average asking prices down by more than £13,000 in the past month, new figures show.

Rightmove’s house price index for September reports a 2.2 per cent fall in asking prices compared to August, the first fall seen at this time of year for nearly a decade. Under normal circumstances the market picks up once holiday season is over and children have returned to school.

But Louis Harding, head of London residential sales at Strutt & Parker said that the exceptional political circumstances have over-ridden traditional seasonal variations. “With the Brexit deadline looming serious sellers have realised that they need to price well to get the deal done.”

There is, however, a ray of hope for those seeking to sell a property in today’s nervous and volatile market.

The time taken for homes to sell has fallen over the past year to an average 69 days, suggesting that lowered prices mean there is still some life in the market.

Rightmove reports that as October 31 approaches, the “deal or no deal” Brexit date, the average price of a home in inner London stands at £739,541, while the average property in outer London is priced at £507,562.

It is the more expensive properties that have seen the biggest asking price falls.

Homes classified as “top of the ladder” — detached houses with four or more bedrooms, and all homes with five or more bedrooms — have seen average asking prices drop by £100,000 in the last month alone, to £1.3 million.

“There is uncertainty over Brexit, the looming threat of a Corbyn government, greater job insecurity, and most bonuses remain a mere shadow of their former selves,” explained buying agent Ed Heaton, managing partner of Heaton & Partners.

“Owners seem to be holding back, awaiting either a more certain Brexit outcome or a market recovery, and perhaps both,” says Miles Shipside, Rightmove director and housing market analyst.
“As we approach yet another Brexit deadline there are signs that the increasing gnashing of teeth is causing some to hesitate.”

Shipside believes that those with strong nerves could take advantage of the weakened market.
“Those who are planning to buy or trade up this autumn and can keep their nerve while others hesitate may find they are in a stronger negotiating position to get a favourable deal.”

Heaton said that he had witnessed some “extremely smart money piling into the London market over the past few months” in the hope of catching it at its weakest point.

Across the capital, a lucky seven boroughs have seen asking prices increase in the past year. However, only Southwark — with an annual increase of 3.9 per cent — has seen an above-inflation rise, to an average of just under £655,000.


Brexit is, of course, not the only issue faced by London’s property market. Another drag on prices is the cost of moving.

According to new research by comparison website reallymoving, the average cost of a move is almost £25,000 once expenses, including stamp duty, agents’ fees, and legal costs, are factored in.
First-time buyers’ stamp duty bills are lower thanks to the exemption on properties worth less than £300,000. However, they still have to find an average of £5,684, according to the study.

To the future and Reuben John, of Fine & Country City Living in east London, believes that a delay in Brexit will mean further price falls. If Britain crashes out of Europe without a deal on October 31 the market will experience “a minimum of three to six months of chaos as we work out where we fit in the world”.


“If we leave with a deal, what will that deal be? In some ways leaving with a deal is the greater unknown of the two at the moment,” he added.

https://www.homesandproperty.co.uk/property-news/london-house-prices-brexit-uncertainty-slashes-13k-off-the-price-of-homes-in-the-capital-in-one-a133446.html