Inner London property sales on the decline since March 2020

Since March 2020, there has been 65% more property sales across the capital’s peripheral boroughs compared to the number completed in inner London according to Benham and Reeves.

The independent property lettings analysed all residential property transactions to have taken place since the first lockdown.

The figures show that there have been just shy of 50,000 sales completed across the capital in this time, with home-sellers securing an average of £487,500 in the process.

First national lockdown saw 103% drop in tenancy application volumes

Of all transactions, 38% or 18,459, have taken place in inner London, while outer London accounts for 62%.

Properties in inner London sold for an average of £595,000 since lockdown, 34% more than sales transacting in outer London.

The research shows that just two of the top 10 busiest property postcodes since the first lockdown are located in outer London.

The CR0 postcode of Croydon and Sutton has seen the most homes sold with 894 completed transactions.

And E17 in Waltham Forest also places in the top 10 (5th), with 584 homes sold since lockdown started.

In contrast, the City of London has seen just 35 transactions complete across its busiest postcode of EC2Y.

However, while the city has seen a slump, inner London accounts for four of the top 10 busiest London property postcodes since lockdown began.

Marc von Grundherr, director of Benham and Reeves, said: “There’s no doubting that the unprecedented events of the last year have spurred many homebuyers to re-evaluate their property priorities, opting for larger homes on the outskirts of the capital and beyond.

“This trend has led to the false assumption that inner London has lost its desirability and that buyer demand has evaporated completely.

“This simply isn’t the case and, in fact, parts of the inner London market have been performing very well since lockdown restrictions were imposed.

“As the capital starts to reopen for business, it is inevitable that demand for central London homes will continue to spread.

“An interesting trend that is also emerging is the choice by London buyers to sit on the geographical fence, opting for areas that fall on the borders of inner and outer London.

“This allows them to secure the larger home they seek for a lower price, but without completing forsaking the ability to commute across London with ease.”