Many Londoners overestimate local house prices

Barratt London released an interesting new report in June that takes a closer look at how first time buyers in the capital perceive property prices. They surveyed 2,000 Londoners looking to buy their first home within the next five years and asked them to guess the prices of properties in 12 different Boroughs armed with only a small amount of information. Surprisingly 62% overestimated prices.

The biggest overestimation was a first floor two bedroom apartment in Marylebone, Westminster. A huge 79% overestimated the price, valuing it at an average £955,266. This is 12% more than the listed price. The results show buyers are unsure of the current market values and that they expect them to rise in the future when they are looking to buy.

Other overestimations included 67% on a maisonette in Camden situated across split levels, 66% on a new build two bedroom apartment in Brent, and 61% on a ground floor flat in Hammersmith and Fulham offering two bedrooms.

Surprisingly as well as first time buyers many locals also overestimated the value of properties in their areas. The Hammersmith and Fulham home is one of the most interesting in this regard. The list price of the property was £799,950. The overestimating respondents valued it at an average of £825,456. Local residents put a value on the property of over £835,000.

At Finefair we help countless investors, establishing ourselves as the best name for property investment Hammersmith and Fulham has. We understand how easy it is for people to lose track of home values, especially in London where the market can change dramatically in a short space of time. Luckily we keep a close eye on it and help to provide the best support.

If you are thinking about investing in a home in Hammersmith and Fulham but are unsure on valuations please contact us. We will be more than happy to help. You may be surprised at values and how far your money can go.