Property Prices on the Rise

Property prices are once again on the rise and very fast. In some cases we have see a rise of up to 25% in just over a year. At property People just last week we sold a 4 bed semi-detached house in Raynes Park. It was purchased 18 months ago at £560k and sold now for £710k. Another 3 bed terraced house in Wimbledon (Graham Road) that we valued 2 years ago at £750k, currently stands at £950K. While a 2 bed maisonette in Wimbledon (Hartfield Road) that was valued at £375K 2 years ago, recently sold for £555K. It seems like the “buy to let” scheme is finally taking effect 6 months after its launch and having a hell of a knock on effect on every band of property ladder. It really has become a seller’s market. I have seen at least 3 examples in the last few weeks where buyers have started outbidding each other to get the property they want. Mortgage lending is up 37% in April 2014. This frenzied buying at 95% mortgages cannot be good thing in the long term. Only time will tell if this is another bubble or if it’s helping first time buyers get up the property ladder. I have to say it has been a difficult experience seeing some of our clients losing properties to higher bids. Read our blog on Gazumping and gazundering for more information. By Asad Jamil. Branch Manager at Property People. Estate agents in Southfields
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