Some areas of London are so in vogue that they do not need a price to sell; the motto is that if you have to ask you cant afford it. Take number 6 Cornwall Crescent in Regents Park which is amongst the super prime market, one of the mini mansions which command a 15million price tag. In fact it is slightly more than that, this house is worth 39million. It is a Grade I listed John Nash designed terraced house dated around 1811 and could be fit for an oligarch. However agents in the area say that this sort of house is too downmarket for an oligarch as it is in the Regents Park area of London whereas they tend to favour Belgravia.
This address is still prestigious though, number 11 on the same street will set you back a cool 29million. You become a part of history as the house is located on the Crown Estate on a 125 year lease. Number 11 comes with its own butler and the house has expensive artwork throughout. The dressing room alone would run into six figures. There has been a lot of interest but the agents admits that most people will not have heard of them, they are not celebrities according to the agents as celebrities could never afford them.
The wealthy overseas investors like the grandeur of old London houses, especially the mega houses. The prime London market did fall a bit but has now bounced back to full strength, largely due to foreign rather than British money. The London property market is expected to rise 33% in the next five years compared with the rest of the UK which only reach 12%. London property is a good way to invest as it is seen as a safe place to put your money plus those who do invest like the capital. Estate agents love to sell the super-primes as the fees for one house can be extortionate.
Agents say that different foreign investors tend to work different ways in regards to buying real estate. Indian buyers like to negotiate the price for a long time whereas the Arabs start at 50% and they have to be worked up. The Russians offer you a price and give you a week to either accept or decline their offer, full stop.
The lower end of the property scale in London is also seeing a rise in prices. The 1million to 3million homes have gone up by 134,000 in a year. Again European money is helping to drive prices up. The lower end of the market may suffer more but this slightly highlights what has been happening in London for some time, that there is a two tier property market between the haves and the have-nots.
Miss Fiona Davies is Sales Director for http://www.uklandforsale.org
She has worked in the property and land sector for the last ten years.
All articles on the website are written uniquely by her.