London prime property prices rise for first time in a year

Friday, 24, Apr 2009 01:46

House prices in prime central London have risen for the first time in a year, according to the Knight Frank Prime Central London index for April, out today.

Prime central London prices rose 0.4 per cent in April, the first rise since March 2008; bringing the annual price change to a decline of 22.7 per cent.

The recovery was led by Chelsea, Kensington and Mayfair, where prices rose by one per cent in April. The weakest end of the market was the top price band of £10 million plus, which saw a 2.2 per cent fall.

Liam Bailey, head of residential research, Knight Frank, said: "It might be an old chestnut but it unfortunately remains true - don't read too much into one month's figures.

"Nevertheless house price growth of 0.4 per cent in central London's exclusive postcodes reflects a growing trend towards stronger market conditions which has been developing since the turn of the year."

"Recently we have seen a change of attitude in buyers with them losing the fear factor about prices falling considerably further and this has resulted in us agreeing more sales in the last six weeks than in the previous six months," James Pace, head of Knight Frank Chelsea, added.