November 2023
GUEST ARTICLES (cont.)
There are clear headwinds but we continue to expect prime central London to outperform all other UK residential markets, not least because of its standing in an international context and that global wealth generation is expected to continue growing. Frances McDonald, Savills
Image © Savills
But, despite London’s resilience, price sensitivity is likely to continue into 2024, particularly as we approach the next general election. There are clear headwinds but we continue to expect prime central London to outperform all other UK residential markets, not least because of its standing in an international context and that global wealth generation is expected to continue growing.
Prime markets to continue to outperform in the short term Prime Central London values are expected to remain flat in 2024 (outperforming other markets), with growth expected to pick up to +6.0% in 2026 once the global economy picks up more significantly and any domestic political instability that the next general election causes subsides.
London and prime regional locations, with values falling more in line with mainstream markets. Falls of -2.0% in outer prime London and -1.5% across prime regional markets by the end of 2024. However prime regional markets are still expected to marginally outperform over the five-year period (+18.6%). Frances McDonald, Director of Research, Savills Frances joined the residential research team in November 2014 and specialises in the prime markets of London and the country Frances works within the internal agency side of the research team, providing market insight to residential agents. As part of this, she is responsible for the coordination of both the prime London and prime regional indices. Her work also includes analysis and development of stories for the national press which has led to frequent quotes. Frances also helps to write reports for both the public and the wider business.
Higher debt costs have had a more significant impact across outer prime
This newsletter is a selection of the previous month’s sector news, trends, regulatory developments and best practices. Any opinions expressed are those of the author only and the newsletter does not constitute personal advise or a personal recommendation. We always seek to maintain tight editorial standards. If you have any comments on this content, please do not hesitate to get in touch with the team.
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