As a property seller based in East London or Essex, you’ll be pleased to know that average house prices in these locations are thriving. So much so, in fact, that they are outperforming the traditionally more expensive central areas of the capital as buyers move further out in search of better value for money.
According to recent analysis by Rightmove, the average asking price of a home in London increased by almost £27,000 in a month as homeowners in central areas avoided listing their properties due to unsettled market conditions.
Although the average asking price has reached almost £630,000, homes in outer regions are still marginally cheaper than this time last year. This is because an increasing number of first-time buyers looking for starter homes in the cheapest areas are pushing up prices elsewhere.
Which areas are experiencing house price growth?
Property prices are surging in the East London borough of Havering, and particularly in Romford, according to Rightmove.
Homes in the area are selling rapidly, too, with eager Romford buyers typically rushing to seal a deal within just 26 days of properties being listed for sale.
This compares to average time of 83 days to sell in Greater London, a number which has edged up by three weeks since last year, as some would-be sellers hold back.
A good opportunity for home movers
As well as benefitting from booming house prices and quick sales, residents in Romford will soon be welcoming the highly-anticipated Crossrail. From May 2019, the £15 billion east-west railway will take over the existing Shenfield to Liverpool Street line and extend it through central London.
What’s more, the local council has adopted a new plan for the town centre in line with Crossrail which will see a vibrant neighbourhood built around the train station, including tower blocks and two new riverside residential quarters to the north and south of the town centre.
Residents can also expect a revitalised marketplace and improved cycling and walking routes across Romford.
Thanks to Romford’s transport links, those who need to travel to central London for work and school purposes can do so easily, with trains from Romford taking just under half an hour to Liverpool Street. There are also stations in Harold Wood and Gidea Park.
Romford is also known for its shopping facilities, open spaces and playing host to one of London’s few surviving dog tracks.
And while property prices are on the up, homes here are still more affordable than in many other London locations.
Is it time to target first-time buyers?
Rightmove data has revealed that almost half of all the homes sold in London last year went to first-time buyers – the highest proportion since 2001.
This is no surprise, considering the recent stamp duty relief for first-time buyers (introduced in November last year) and the promise to build 300,000 homes every year by the mid-2020s. In fact, over 120,000 first-time buyers have already benefitted from the stamp duty cut, saving almost £300 million up until June 2018.
First-time buyers can also benefit from other government initiatives – Help to Buy and Shared Ownership, in particular – which require lower deposits or allow people to save more through tailored ISAs. This, and their eagerness to push through transactions, means that the first-time buyers’ market continues to grow.
Of course, if you wish to target this group of eager buyers, you want to ensure your property is suitable for their needs. First-time buyers are typically in their 20s or 30s, and therefore they are likely to seek out good local schools, fast broadband speeds, local amenities and nightlife options when searching for their first home.
With this demographic snapping up homes at a quicker rate than before, it could be worth targeting your Romford property towards this sector of the market.
At Balgores Property Group, we have many branches across Essex and Kent and can help you to get your property sold for the best possible price. To find out more about how we can help you to sell your Romford property, please get in touch with us at one of our offices.
Additionally, you can see how much your home could be worth on the current market by requesting a free and instant online valuation.