Is now a good time to buy a house in London?
London is known for having high property prices and a resilient market that can withstand uncertain economic conditions.
Despite this, prices did fall in the capital between 2022 and 2023. However, growth has returned in 2024. According to Halifax, the average property price in London reached £539,336 in April 2024, showing annual growth of 0.1 per cent.
And the rental market in London shows no signs of slowing down. According to Rightmove, average rents were:
The property website reported a record high average monthly asking rent of £2,631 in January 2024. It also predicts average rents in the capital to grow by another three per cent by the end of 2024.
And while this growth is slower than the double digit figures recorded in 2022 and early 2023, it will still equate to an increased yield for many landlords.
So, despite higher average house prices, London remains a good place to buy for landlords due to high tenant demand, solid rental price growth, and long-term house price rises.
Read our guide on average rent prices in London for more detailed information.
Is now a good time to sell a house?
As the property market continues to recover from a turbulent period, it’s still currently in what is known as a ‘buyers’ market’. This means conditions favour buyers. With less competition for properties, there’s likely to be fewer bidding wars and sellers will be more willing to negotiate on asking prices.
With this in mind, now may not be the best time to sell a property. However, if you’ve owned a buy-to-let property for a significant period of time, it’s likely you’ll make a healthy return on your investment even in a buyers’ market.
For more tips on buying and selling a rental property, read our guide to buy-to-let investment.
