|Acton Property Prices Surge to New Highs|
Nearly a fifth of W3 sales in second half of year have been for over a million
The value of Acton property appears to have surged to a new high in the second half of 2014.
The average price of a home sold in the W3 post code area in the second half of the year was £656,053 according to the latest figures from the Land Registry.
There seem to be a range of reasons for the huge increase but the one most often mentioned by local estate agents is the significant improvement in transport infrastructure planned for the area with both Crossrail and HS2 coming to local stations. In addition the regeneration of the Old Oak area is likely to have spin-off benefits for Acton.
There were 59 transactions (see below) during the month, eleven of which were for over £1,000,000. The highest priced sale was on Avenue Gardens where a house changed hands for £1,775,000 compared to an original asking price of £1,875,000. This becomes the seventh most expensive residential property ever sold in Acton.
The official average for the third quarter will be released by the Land Registry next month and it may be revised down as more sales are added. There were no major flat developments being marketed during the period which will have artificially inflated the overall average but it is very unlikely that it would fall below the previous quarterly all-time high which was just over half a million.
There are indications that this precipitous price rise may becoming to an end. A survey by the Royal Institution of Chartered Surveyors (RICS) on sentiment in the property market suggests that London prices started to fall in September for the first time in three years. This is based on a survey of their members rather than reported sales prices form the Land Registry.
The expectation amongst surveyors for the coming three months in London is that prices will fall further but that they will regain lost ground over the coming year.
A growing sense of caution seems to be indicated by a continued contraction in buyer demand. The RICS survey showed that it contracted in London for the fifth month in a row.
Simon Aldous MRICS, of Savills, said, "We do think there is uncertainty due to the forthcoming General Election and the changes that may arise to Mansion Tax, Annual Tax on Enveloped Dwellings, Capital Gains Tax, Stamp Duty. Changes to mortgage lending/regulation has softened the market in Prime South West London. "
The average price in London during the month of July was £457,072 which is up by 19.3% compared with the same month in 2013. For England and Wales as a whole the average is now £175,653 compared with the peak of £181,442 in November 2007 up by 7.2%.
The most up-to-date figures available show that during May 2014 the number of completed house sales in England & Wales increased by 10 per cent to 72,900 compared with 66,325 in May 2013.
The number of properties sold in England and Wales for over £1 million in May 2014 increased by 32 per cent to 1,032 from 779 in May 2013.
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October 9, 2014