Property prices predictions for 2019, Home Counties and London
South East 2019 Property Developers excited by healthy profit forecast
Surrey | Essex | Kent | London | Hampshire
08.02.19
The South East property market is quietly undergoing a revolution in the buyer’s market. Since 2001, the average house price has shot up by over £85,000 according to recent statistics from Nationwide.
However, with the UK’s impending departure from the EU seemingly affecting current house prices, a new buyers market is quietly emerging.
“Prices grew by only 0.3% in the year to November, down from 1.5% in October.” Halifax says.
Property development finance has enabled first-time and established property developers to finance development projects in counties such as Kent, Essex, Sussex, Hampshire & Surrey and in London.
Hunter Finance is conducting an exhaustive study into which property type is earning our clients the most profit. Hunter Finance is always assessing and analysing the different property markets in each county to see which project is viable for finance.
Build the wrong type of property and take a step towards bankruptcy
When it comes to property development, there’s a misconception that building luxury homes and flats guarantee to attract potential home buyers.
“In 2018, over half of the 1,900 luxury apartments built in London failed to sell last year. “ FT.com
Although high-end properties are faltering, the demand for new homes remains. In fact, Savills estimates that around 58% of property demand by Londoners is for homes priced at £450 psf and below but currently, only 25% of new homes are being built for that price range.
“We need affordable one or two bedroom apartments priced at £500,000,” says Steven Heard, founder and chief executive of MyLondonHome. “We don’t need swimming pools and empty rooftop bars with no one living at home to buy drinks at them. There’s just way too many £1.5m-£2m-£3m flats that all look the same,” he adds.
Statistics for first-time buyer mortgage approvals for 2018 show that it hit its highest level in 10 years. An estimated 367,038 first-time buyers mortgages were approved during 2018 with first-time buyers taking advantage of low rates.
So, are you building the right property for this new market and are you offering the right level of luxury or economy features.
What type of property should you build by county?
Hunter Finance takes a closer look at a few popular areas with property developers and what type of home you should be looking to build.
Our funding is designed to be incredibly flexible and to get the necessary funds at your disposal as quickly as possible.
Property Price Predictions by County
- Essex. Located on the east side of London, Essex is fast-becoming a highly-desirable area for business professionals in the finance and insurance industries. Home values continue to increase as professionals based around the capital and Canary Wharf look to escape London without a long commute time. Read more.
- Surrey. With an employment level of over 76%, Surrey is one of the UK’s most employable counties. However, with an average home value of around £595,500, first-time buyers have been looking at smaller, compact homes to get onto the property ladder. Find out how you can benefit from this.
- Kent. Right next to London, Kent is becoming an increasingly desirable location for working professionals that cannot afford the high home prices in London and Essex. With massive investment in its historic towns and strong transport connections to London, Kent is a fantastic opportunity for London commuters. Discover why.
- Hampshire. As Southampton and Portsmouth continue to thrive along the coasts, more young families and couples are moving away from London and into Hampshire to get onto the property ladder. With a range of waterfront developments and affordable housing, the Hampshire property market continues to thrive. Find out more.
- London. House prices have been beginning to stagnate and fall in the capital, however, this represents a fantastic opportunity to build properties for first-time buyers. We anticipate an expected rise of 12.9% for first-time buyers compared to 2018, London comfortably remains an exciting prospect for the property market. What properties should you build?