Prime London Market Update - Spring 2022

25 April 2022

Our Spring 2022 Market Update - what a year 2021 was for sales and lettings.

Q1 2022 has seen a strengthening of the prime London markets. Prices – in both sales and lettings – have continued to rise, albeit at a slower rate for sales, in the first quarter of the year.

Properties going under offer have risen and overall activity levels, following last year’s stamp duty holiday, have returned to pre-pandemic levels.

In the lettings market, prime London has seen the highest rates of rental price growth since LonRes records began.

In this issue: Key highlights from the sales and lettings markets

Sales market

  • The latest LonRes Index shows prices across all LonRes prime areas rose 5.2% in the year to Q1 2022.
  • Average prices were unchanged in the latest quarter, reflecting the differing fortunes of flats and houses in the current market.

Lettings market

  • With annual growth of 22% across the whole of prime London, these growth rates surpass those recorded during previous highs.
  • Rental growth looks set to stay higher than pre-pandemic trends.