A punter’s view of the London property market
A grass root level survey by London property specialist Chesterton International gives an insight into the sales and lettings market in the capital from the home owner’s perspective. Property would appear to be the new pension alternative, as 63 per cent of landlords are aged over 45 years and 55 per cent have acquired their property as a 'buy to let' investment. Nearly half have seen their property increase in value by more than 50 per cent since they bought it and 70 per cent have no intention of selling in the near future. Property ownership is split equally between male and female landlords and both are hopeful of finding the perfect tenant, preferably a non-smoker (13 per cent), professional (14 per cent), no pets (12 per cent) pays rent on time (16 per cent) and leaves the property in a good condition (17 per cent).
Tenants, on the other hand, have shown themselves to be canny negotiators when it comes to initial rental agreements with 86 per cent getting their rent reduced by up to 19 per cent of the asking price. Male tenants are slightly more effective at this (56 per cent). The most common restrictions in rental agreements are that 62 per cent have a no pets clause and 24 per cent allow 'no noise after designated times'. It also appears that tenants are becoming increasingly discerning – nearly a quarter of tenants surveyed took up to two months to get what they wanted, with a shopping list of criteria that included the right number of bedrooms (34 per cent), proximity to local transport (25 per cent) and adequate living space (23 per cent).
The same criteria also appears on potential purchasers' wish lists, with 31 per cent looking for more space, 19 per cent an improved location and outdoor space and 22 per cent a contemporary décor. Male respondents are particularly interested in more space (60 per cent) whilst 57 per cent of women are keen on the latter. Half the respondents were looking to buy on their own and 55 per cent of them had already bought over three times in the past. The predominate age category looking to buy (55 per cent) was 35-44 years old, although overall 32 per cent did not currently live in London.
Conversely, 56 per cent of people with their property on the market were not looking to buy another property in London, and more than half of those were looking to move 25 miles or more outside the M25 – 86 per cent of these people were single and 67 per cent were women. Nearly half had lived in their property for up to four years and 45 per cent cited the need for a bigger property as the main reason for moving. They also believe in spending money to make money – 39 per cent have carried out decorations in order to sell their property and 29 per cent have installed a new kitchen or bathroom, with 27 per cent having spent up to £5,000 on work to enhance their sale offer.