London luxury homes sell at feverish pace
Deals above $6.8M jumped 60% from pre-pandemic figures
Luxury homes in London sold at breakneck pace in the first half of 2021.
There were 237 deals that closed above $6.8 million, according to Mansion Global. That tally was 59 percent over the first half of 2020, but more tellingly, it was 61 percent more than the first half of 2019.
Pricing is down in some of the most exclusive parts of London in large part because pandemic travel restrictions hampered overseas buyers.
Prices are about 20 percent below peak in some of the city’s highest value areas, according to the report, citing Savills.
Still, central London is home to the most luxury properties, accounting for 89 percent of deals over $6.8 million or 5 million pounds.
Hedge funder Suneil Setiya was said to be nearing a $153 million deal for a 14,000-square-foot unit at One Hyde Park this spring.
The lack of overseas buyers means London-based buyers “have been able to enjoy transacting with relatively low levels of competition,” Savills’ Frances Clacy said according to the report.
But prices have not dropped. Overall, they are up 9 percent year-over-year, mostly because of the number of large “country house-style” homes that are trading.
“Houses have remained the top performers as buyers look to upsize, but the flat market continues to lag behind because of international travel restrictions,” Clacy said.
Demand will likely grow for condominiums as more foreign buyers are able to enter the city.
[MG] — Dennis Lynch