Eagle eyed readers may have received our recent report on the UK General Election. In it, we predicted that a Conservative victory was far more likely than the pundits and bookmakers predicted (17-1 odds since you asked..) and that the smart money was buying before the Exit Poll was announced at 10pm on May 7th.
Well, those that followed our advice have done well. In a record month for transactions, we have secured property for clients from the UAE , The Netherlands and Russia and all managed to pay less than if they were trying to buy the same properties today.
The Mansion Tax has haunted the Prime London market for years now. Its demise has been a relief for all those owning property valued at £2m plus (not mansions, more likely 2 bedroom flats). It was the lack of clarity about the rates planned for properties above this level that spooked the market with few willing to commit to a £5m purchase without knowing if they would be asked for an additional £25,000, £50,000 or £100,000 a year for the privilege of living in their newly acquired home. With the threat of such an unfair tax now gone, the market has returned to normal. I say unfair because it would have raised far less than it would cost to implement, and the fact that plenty of the very normal people who have seen the value of their home sail past £2m have managed to do so without being an oligarch.
Press reports of surging prices after the election are wide of the mark. The market has hardened at all price points and estate agents are now over valuing property to win instructions again. There are far more buyers in the market than a month ago, both due to the election result and the perceived security of holding an asset in pounds sterling rather than Euros currently.
If you are considering buying property in Prime Central London, do get in touch. We act only for buyers.
Do email me, Miranda Ludlam. I can be contacted at hello@propertypoint.co.uk –
