While it may surprise you, it has actually become easier to buy a home in London recently. Although prices are still high, there has been a period of cooling. At the same time, the mortgage market is more stable than it has been. All of this creates a buyers’ market, giving them more power than sellers. We want to have a closer look here, exploring the dips in prices and the opportunities they offer. Then, if you want to learn about guaranteed rent in London, you can trust us.

Further cooling

The latest figures from Rightmove say June saw the biggest dip in house prices in London in the month for 14 years. Comparing to last year, values were down 0.5% to £376,191. Month on month there was a 0.6% drop, with properties losing around £2,000. As a result, it is a good time for buyers but a tricky time for sellers.

Traditionally, June is a good month for the property market in London. In the last decade there have been marginal 0.1% increases in house prices this month. It usually leads in to slower months in July and August for the summer holidays when people are more focused on holidays. However, the current conditions are bucking the trend, bringing the dip forward.

Different conditions

The key thing to keep in mind is the conditions are different to typical years. For one thing, the supply side is putting power in buyers’ hands. The amount of homes on the market is historically high for June. It is causing more competition and meaning sellers generally need to be willing to negotiate and lower their asking price. If you take the chance to invest and save, you can rely on us to arrange guaranteed rent in London.

As well as the number of homes on the market, it’s a tricky time for sellers because of uncertainty, both economically and politically. Plus, Bank Holidays in May and hot weather mean people are thinking about other things than properties. So, it’s not surprising the lull has come earlier.

Finally, as we said, the mortgage market is also more stable than it has been. In fact, there has been a dip in interest rates. It improves affordability and can make a big difference to budgets. Ultimately, buyers are in a better position.

How does it compare to other regions?

London’s property market largely plays by its own rules. In fact, it is almost a completely separate entity. So, it is a good idea to see if the June dip in prices and buyers’ market is also happening elsewhere. Remember you can speak to us about guaranteed rent in London.

Crucially, there has been a dip in prices across regions in Southern England and Wales too. Conditions are similar, with buyers in the strongest position. However, it is a different case in the north. North England and Scotland actually saw house prices rise year on year, increasing 3.3% and 3.2% respectively. These are markets where the sellers have more power.

Ready to invest?

The most important take-away is; if you’re thinking about investment properties in London, it’s a good time to move while buyers are in a strong position. Sellers need to be realistic with so much competition. Prices could cool more in the months ahead, especially with more warm weather likely.

Explore guaranteed rent in London

Before you invest, it’s a good idea to make sure you are clear on your strategy. It’s hard to be a private landlord at the moment. However, there are options. One is to work with local councils in the city. It can provide stable rent and fewer responsibilities. At the same time, the respective local authority will manage the properties.

If you want to compare options, speak to us. We’re one of the leading names for guaranteed rent in London. As a result, we can guide you through and explain how you benefit.