"Broad economic uncertainty is as much a deterrent to the super-wealthy as it is the average buyer and in recent market conditions, sellers at all levels of the market have been sitting tight and waiting for the UK’s economic picture to improve"
- Marc von Grundherr - Benham and Reeves
London lettings and estate agent, Benham and Reeves, has analysed current residential listings of prime (£2m-10m) and super prime (£10m+) homes in London and compared today’s figures to those from this time last year to gain insight into the annual change in stock availability as the economic woes of 2023 begin to pass.
The Benham and Reeves data reveals that the current number of super prime listings in London is 5.1% higher than it was this time last year with 431 homes listed on the market for £10m or more, up from 410 annually.
Key areas of super prime growth in London
The biggest annual increase has been seen in Highgate where the number of homes listed for sale with a value of £10m+ has increased from 2 to 5. While this may seem like a small uplift, it’s very much a case of quality of quantity across the super prime market and this rise represents an annual increase of 150% in available stock - the strongest growth in London.
In Holland Park, there are now 23 super prime homes for sale which represents an annual uptick of 43.8%, while Belgravia has seen an increase of 32.4%.
Other London markets to see an increase in super prime listings in the past year are Fitzrovia (20%), Chelsea (11.9%), Victoria (11.5%), Mayfair (10.4%), and Kensington (5.2%).
Muted prime market
When it comes to London’s core prime market of homes valued between £2m-£10m, the outlook is slightly more muted with listings staying largely static year on year.
The current number of prime listings is 4,832 compared to 4,826 last year, which marks an annual increase of just 0.1%.
There are, however, some London markets where prime listings have seen strong annual growth.
Clapham leads the pack with the number of prime listings rising from 37 to 55 which is an annual increase of 48.6%.
Wandsworth has seen an increase of 34.2%, while Highgate listings are up 25.6%.
Other London markets to see an annual increase in prime listings of 10% or more are Victoria (15.3%), Hampstead Garden Suburbs (14.5%), Belgravia (14.2%), Barnes (13.5%), Mayfair (13%), and Battersea (11.1%).
Director of Benham and Reeves, Marc von Grundherr, commented: “Broad economic uncertainty is as much a deterrent to the super-wealthy as it is the average buyer and in recent market conditions, sellers at all levels of the market have been sitting tight and waiting for the UK’s economic picture to improve.
"But improve it has, and buyers are now returning, tempted by improving market stability following four consecutive decisions to keep interest rates frozen.
"In response, sellers are also returning in order to capitalise on this growing level of market activity and we’ve seen a notable increase in for-sale stock levels across numerous prime London neighbourhoods.
"This should help breathe new life into the prime London market and the predominant opinion is that 2024 should be a strong year across the top tiers of the London market
"We’re also seeing good activity across the prime lettings space and we’ve seen both an increase in the number of enquiries above £10,000 per week and suitable stock to satisfy these enquiries.
"However, the very top tier isn’t quite as straightforward as these clients have very specific requirements. For example, one such client wants a building with house cars on offer to drop off on request and currently only two such buildings offer this service, which limits their choice.”
