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Deckard

Lr Report - London Spinoff

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The LR report for London shows an overall 1.6% increase for July.

As usual, there are big differences between boroughs - and the average doesn't seem to compute.

Any anecdotals from the London watchers in the forum, to help us get some prospective on the real world out there?

Incidentally, I notice that the top end (K&C) is down 2.3%, which seems to contradict the logic put forward by some here, according to which the top end transactions are skewing averages towards positive territory at a time of fewer transactions.

Any K&C feedback from you guys?

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The LR report for London shows an overall 1.6% increase for July.

As usual, there are big differences between boroughs - and the average doesn't seem to compute.

Any anecdotals from the London watchers in the forum, to help us get some prospective on the real world out there?

Incidentally, I notice that the top end (K&C) is down 2.3%, which seems to contradict the logic put forward by some here, according to which the top end transactions are skewing averages towards positive territory at a time of fewer transactions.

Any K&C feedback from you guys?

Putney and Wandsworth booming so I'm told

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The LR report for London shows an overall 1.6% increase for July.

As usual, there are big differences between boroughs - and the average doesn't seem to compute.

The London figure is current, but the London boroughs are 4 month rolling averages.

Probably because individual boroughs may have only a small sample size. A 4 month rolling average smooths out the data but doesn't reflect current price movements.

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The LR report for London shows an overall 1.6% increase for July.

As usual, there are big differences between boroughs - and the average doesn't seem to compute.

Any anecdotals from the London watchers in the forum, to help us get some prospective on the real world out there?

Incidentally, I notice that the top end (K&C) is down 2.3%, which seems to contradict the logic put forward by some here, according to which the top end transactions are skewing averages towards positive territory at a time of fewer transactions.

Any K&C feedback from you guys?

i have a flat in k and c... probably at peak, peak it might just about have stretched to £1m... on for £1.1m .. that sort of thing...... in jan of this year I would have said £750K/£800K..... now I would say a certain £850k.....I suspect when the bottom is reached it'll be something like £700k ish.... not planning to sell by the by, it's been rented solidly for the last five years at £3,000 per month and bought ages ago for £300k so whatever happens its been a jolly good buy.

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If anything the 30-something professionals I know are losing their jobs at an even faster rate than they were six or twelve months ago. Friends who work in high-end fashion say that sales are down 30% on last year. I notice an awful lot of people out jogging in expensive trainers in the middle of the day - unemployed bankers? If this is a recovery then I'd hate to imagine what a recession is like.

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The LR report for London shows an overall 1.6% increase for July.

As usual, there are big differences between boroughs - and the average doesn't seem to compute.

Any anecdotals from the London watchers in the forum, to help us get some prospective on the real world out there?

Incidentally, I notice that the top end (K&C) is down 2.3%, which seems to contradict the logic put forward by some here, according to which the top end transactions are skewing averages towards positive territory at a time of fewer transactions.

Any K&C feedback from you guys?

Not necessarily a contradiction in logic. It's mathematically (though not realistic) for every borough to go down but yet the average for London as a whole to go up. For example, if all the sales were in K&C the London average would shoot up even though K&C fell.

The London figures are consistent with low volumes from cash rich buyers and buyers with lots of equity in existing homes trading up. FTBs who would typically be looking at lower price brackets don't get a look in.

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What I see of London is generally pretty healthy - particularly of "perfect" homes. A friend has been trying to buy a house in the sub-£1m range. Put in loads of offers within 5% of asking. Not a single one has been accepted, and these houses have since been sold - presumably for asking.

And don't imagine that this reflects sensible pricing by vendors. No way.

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Isn't this just the knock-on effect from the recovery in bankers' bonuses? It's always seemed to me that the London ecology is very lively - someone coughs in a penthouse in Chelsea, and the prices on ex-council one beds in Green Lanes soar...

Also, estate agents in North London have admitted to me that they have no more control over their clients' asking prices, which are now extremely inflated because of the lack of supply.

(In turn, that should make lenders wary about 'valuations'. In theory. In practice, it doesn't seem to make them care a hoot.)

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If anything the 30-something professionals I know are losing their jobs at an even faster rate than they were six or twelve months ago. Friends who work in high-end fashion say that sales are down 30% on last year. I notice an awful lot of people out jogging in expensive trainers in the middle of the day - unemployed bankers? If this is a recovery then I'd hate to imagine what a recession is like.

I know no 30 something professionals out of work in Lahhdan.

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Can't comment on prime central London, but asking prices for the better parts of Kingston and Surbiton (outer suburbs) have definitely increased in the past couple of months.

Good houses seem to be selling quickly, and if they are going for anywhere near asking price then they are fairly close to the peak again.

Flats are still quite a bit off peak, but are selling more quickly than a few months ago.

Edited by worried1

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Incidentally, I notice that the top end (K&C) is down 2.3%, which seems to contradict the logic put forward by some here, according to which the top end transactions are skewing averages towards positive territory at a time of fewer transactions.

It does no such thing. It's the number of top-end transactions that matters, not their value. Ten £5million purchases have more effect than six £5.5million purchases on an average price in the £150k ballpark.

I make no comment on the hypothesis itself. Merely on your comment on it.

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What I see of London is generally pretty healthy - particularly of "perfect" homes. A friend has been trying to buy a house in the sub-£1m range. Put in loads of offers within 5% of asking. Not a single one has been accepted, and these houses have since been sold - presumably for asking.

And don't imagine that this reflects sensible pricing by vendors. No way.

Agreed. They should have asked more. If they were that easy to sell they should have pitched a bit higher, n'est ce pas? or is that not what you mean

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It does no such thing. It's the number of top-end transactions that matters, not their value. Ten £5million purchases have more effect than six £5.5million purchases on an average price in the £150k ballpark.

I make no comment on the hypothesis itself. Merely on your comment on it.

On the LR index?

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