London property prices rise 10% year-on-year

25th Sep 2012

The price of prime homes in London have risen by their fastest rate in three months as a greater number of investors come into the market for these properties for sale.

According to the latest figures released by Knight Frank, luxury properties in the centre of the capital now cost ten per cent more than they did at the same time last year.

The Prime Central London Index said that areas such as Knightsbridge, Hyde Park and Marylebone were the best performing destinations for house sellers, with a rise of 14 per cent on average.

The report also said that the 40 per cent hike in stamp duty for houses in the highest bracket had not damaged these properties' sales. However, the homes which are priced between £2 million and £5 million have seen a 20 per cent drop since reforms came into play.

It has often been the case that London homes have been completely impervious to overall changes in market conditions, with prices remaining resilient throughout the duration of downturn when compared to the rest of the country.

"Average prime property values in central London now stand at a new record high, some 15 per cent above their pre-crisis peak in March 2008," said the Knight Frank report.

Posted by Staff Writer: ADNFCR-1286-ID-801456407-ADNFCR

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