Home NewsProperty market updates Positive outlook for the London property market in 2024

Positive outlook for the London property market in 2024

There’s no doubt that 2023 was a turbulent year for the property market, so positive house price growth in December has been welcome news. Investors or buyers in Singapore who are eyeing investments in UK property in 2024 should know that the London property market in 2024 now presents a landscape of some major indicators.

London Property

Halifax, the UK’s largest mortgage lender, reported that UK house prices increased for a third consecutive month in December—up by 1.1% in December, following a 0.6% rise in November and a 1.2% increase in October.

And the Bank of England has just released figures showing mortgage approvals for house purchases grew to 50,100 in November, up from 47,900 in October.

The Benham & Reeves Property Market Index Review (our quarterly accumulation of house price data from the top four existing indices) shows that the average UK house price was £306,462 during Q3 of 2023. This is a 0.1% quarterly increase and the second consecutive quarter of positive house price growth in the UK. In London, the current average house price stands at £569,566 in Q3 of 2023, again a 0.1% increase against the previous quarter.

Knowing that these house prices have experienced two consecutive quarters of growth can help purchasers like you be informed about the timing of their investments. You can choose to enter the market when the prices are on an upward trend to potentially benefit from the appreciation.

Interest rate maintained for the third consecutive month

Interest rates are stabilising (the Bank of England kept interest rates at 5.25% in December, for the third consecutive month), and mortgage rates are easing further; lenders including Halifax and HSBC are cutting rates, and fixed-rate deals can now be found for around 4%, levels not seen for some months. With such stability in the interest rates, it clearly provides the buyers/investors in Singapore with much more confidence and predictability with the borrowing costs.

And Rightmove has reported that it saw a record number of homes listed for sale on Boxing Day (December 26th), when over 10,000 new properties came to the market—the largest number of new sellers in one day since 2011. This makes sure that, with wider options now, buyers in Singapore can have a better chance of finding a property that meets their preferences and investment criteria. They also saw 17% more inquiries from buyers on Boxing Day than the previous year. The property portal also revealed that demand for properties in London was up 19% in the first two weeks of 2024, compared to 2023.

Exciting developments newly launched in London

Several exciting new developments are launching across London right now, and this promotes buyers in Singapore with diversification that will benefit from spreading investment across different geographic regions. These include Camden Goods Yard in Camden Town, NW1, an eight-acre Zone 2 development with amenities including a rooftop restaurant, supermarket, swimming pool, cinema room, commercial space, and workspaces. The first phase, Primrose House, is due to be completed in Q2 of 2025.

Lombard Square

Opal House is a brand new edition to Lombard Square, offering buyers the opportunity of a luxurious lifestyle and a strategic investment to look into. Being positioned at the heart of Plumstead, this development will boast some stunning views of gardens in the backdrop. It also gives you direct access to the 12- hour concierge services and gym, as well as some nearby shops and offices. Drawing inspiration from the skilled work of local crafters, each house represents the strong and storied history of the area.

Most residents here will enjoy panoramic views of the 1.8-acre Garden Square parkland, coupled with spacious balconies and the general right to park is readily available. With prices starting at £370,000 and completion expected in Q4 2025, Opal House promises residents a premium-class living experience and the potential for some high-end returns. In addition, the upcoming commercial amenities like cafes, shops, restaurants, gaming spaces, and clubs ensure a convenient and enjoyable everyday life.

Increased stock levels ease pressure on renters in 2024

There is still a high demand among people who are looking for homes to rent in London and there isn’t enough supply in most areas. For a fact, properties that are nicely designed and priced correctly tend to get rented out within a week

The lack of available rental properties has caused rents to go up in the past few years, now there are new phases being completed that will provide more options and help lower the pressure on renters in London.

With approximately 30 new development phases slated for completion in Q1 alone, 2024 presents a year of opportunity for Singapore investors who are keen to get on to London’s thriving property ladder! In addition, with our on-site letting and property management branches in several of these developments, buyers can capitalise on the emerging opportunities within the market.

A wide choice of rental homes completing now

There have been some new developments that range from the gleaming residential towers in the city to some alluring landscape on the outskirts of London, offering Singapore investors some lucrative buying opportunities.

Completing soon are phases at The Powerhouse, Chelsea Waterfront, White City Living, Oval Village and many more!

Additionally, we have some exciting news for buyers in Singapore who are interested in investing in a high-end property by the River Thames in a prestigious area of London. This special property launch will take place at the Raffles Hotel Arcade on the 9th and 10th of March.

There has been a growing array of choices that cater to various budgets and lifestyles that present an enticing prospect for the real estate buyers of Singapore now. And investment options for landlords looking to tap into London’s thriving rental market.

Find out more about new developments completing soon here.

Contact us if you are buying, selling, or letting a property in London

So, Singapore investors, there’s a lot for you to look forward to in 2024 for buying, renting, or investing in London. Find out how we can help by contacting us today.


About the Author

Established in 1958, Benham and Reeves is one of London’s oldest, independently owned property lettings and sales agents. With specialism in residential sales, corporate lettings and property management in prime areas of London, the company operates from 21 prominently located branches and 14 international offices.