Richmond Property Market Sees Autumn Resurgence

New seller asking prices in the capital have risen by 0.7% this month, with the average property now valued at £682,375. While this might seem like a modest increase, it reflects a steady recovery as the market regains momentum after a period of uncertainty.

In Richmond upon Thames, properties had an overall average price of £888,733 over the past year, positioning the borough as one of London’s premium residential areas. But, beneath the surface, there are more subtle trends at play.

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Richmond Property Market Trends

The majority of sales in Richmond last year were flats, selling for an average of £519,645. Terraced homes fetched £950,190, while semi-detached properties reached an impressive £1,256,845. However, overall sold prices in Richmond are down 8% compared to the previous year and have dipped 3% from the market’s 2021 peak of £914,093. These fluctuations highlight a market that remains highly desirable but is also adjusting to broader economic factors.

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Buyers Sensing Opportunity

One of the key drivers behind this early autumn activity is the growing confidence among buyers. The number of agreed sales across London has surged by 27% year-on-year, showing that buyers, perhaps spurred by the softening of mortgage rates, are eager to take advantage of a wider range of properties coming to market. In fact, new listings are up by 14% compared to the same period in 2023, meaning more choice for buyers in sought-after areas like Richmond.

Despite this rise in activity, the average time it takes to secure a buyer in London remains at 63 days, just slightly longer than the 61 days recorded in July. In Richmond, where properties are often priced at a premium, we’re seeing a similar trend, but homes that are realistically priced continue to attract serious interest.

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Mortgage Rates: A Balancing Act

Mortgage rates remain a significant factor for both buyers and sellers in Richmond. While the average 5-year fixed rate has fallen to 4.67%, down from its peak of 6.11% in July, it is still substantially higher than the ultra-low rates of recent years. This has made buyers more cautious, but it hasn’t dampened their overall enthusiasm. In fact, the market seems to be in a delicate balance, with sellers needing to price carefully to align with the new financial reality.

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Richmond’s Unique Position

Richmond upon Thames remains a jewel in London’s property crown, with its blend of riverside living, green spaces, and excellent schools continuing to draw in families and professionals alike. The local market, while adjusting to broader economic pressures, remains robust. Compared to other regions of the UK, where transaction times are shorter, Richmond’s premium market moves at a slightly slower pace. However, well-presented properties with realistic price tags continue to be snapped up by eager buyers.

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Looking Forward: Autumn and Beyond

As we move further into autumn, sellers in Richmond should be mindful of maintaining realistic expectations when pricing their homes. While the market is showing signs of recovery, buyers are increasingly selective, making the right balance between price and presentation more important than ever.

The upcoming Autumn Statement may also influence the market, particularly in relation to mortgage rates and potential tax changes. For now, however, there’s a palpable sense of opportunity in the air, with the autumn market arriving earlier than expected and showing promising signs of continued growth.

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Key Takeaways:

• Richmond upon Thames properties averaged £888,733 over the last year, with flats selling for £519,645, terraced homes for £950,190, and semi-detached homes for £1,256,845.
• Overall prices are down 8% compared to last year, and 3% below the 2021 peak.
• The number of agreed sales in London has risen by 27% year-on-year, reflecting renewed buyer confidence.
• Mortgage rates are down from their July peak, but the average 5-year fixed rate remains high at 4.67%.
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In summary, Richmond upon Thames continues to offer a unique blend of luxury living, and despite recent market adjustments, it remains a prime location for buyers and sellers. With the early autumn action already underway, those looking to make a move would do well to seize the opportunity now, before further market changes take effect.

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