With the hottest summer on record underway, outside space is one of the key requirements for buyers in the Capital with 65% of property searches now requesting outside space.
The current shortage has created fierce competition and there is now a 5-10% premium on these properties, says leading independent London agent Greene & Co.The demand is fuelled by the growing popularity of entertaining at home and an increasing number of families choosing to stay in London, rather than move away from London and face rising travel costs. As a result, these properties are the most likely to be sold through sealed bids.
In Crouch End, a one bedroom garden flat marketed for offers in excess of £360,000 saw 58 viewings in just open house afternoon. The property received eight offers through sealed bids, sold for £50,000 over the guide price and exchanged and completed within six weeks.
A Maida Vale garden flat sold for £35,000 over the asking price to a buyer who had missed out on five other properties through sealed bids.
David Pollock, Managing Director of Greene & Co. comments on sealed bids:
“Space is at a premium in London, and we are seeing a growing number of homeowners in the Capital seek to maximise the square footage of their home. Properties with outside space are popular with families, but now we are seeing a rise in the number of downsizers, who enjoy gardening, and young professionals looking for additional room to entertain or that always useful outside storage room.
“Outside space can add 10% to the value of a home. The current housing shortage, combined with a dearth in new properties with usable outside space has created intense competition for these homes and as result the majority go to sealed bids. With the hottest summer on record in the Capital, this demand is unlikely to subside and we should expect properties with outside space to continue to lead the curve on house price growth.”
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