Harringay, Haringey - So Good they Spelt it Twice!

Haringey Experiences Biggest House Price Fall in London House Price Drop

Many of you will have picked up on this what-goes-up-must-come-down story in the news yesterday.

It appears that that the steep climb of London properties has come to an abrupt end or at the very least is pausing for breath.

Haringey apparently recorded the biggest fall in average house prices across London this month as new seller asking prices declined for the first time in 2014.

Since May 14, the Rightmove house price index shows that Haringey property values have decreased by 4.8 % - falling from an average price of £689,472 to £656,512. The next worst performing borough was Barnet at -3.7%.

I asked a couple of our local agents a couple of weeks back if they thought house purchase activity had weakened locally in Harringay. Both were unequivocal in saying it had. Elan Silver told me that a couple of months back they'd get up to 60 people viewing a property on an open day and usually a good number of offers would come out of a single viewing day. Then abruptly, the unprecedented levels of demand we'd been experiencing seemed to dry up with only a handful of viewers turning up for each viewing day. Open days, he told me, are a thing of the past for the time being.

The London-wide decline is the first in recent years and has been attributed mainly to the rush of new properties coming to the market, which is giving buyers more choice and sellers more competition. Rightmove reports that new seller numbers are up 12.3% since a year ago and 23.2% since last month.

Another reason cited for the drop is new evidence of house owners looking to ‘cash in and move out’: over 50% of potential sellers in Zones 1 and 2 are looking to move further out.

0 members like this

▶ Reply to This

Replies to This Discussion

Permalink Reply by Vikram Dodd on June 20, 2014 at 0:43

the rough rule in London is that property prices double every decade - give or take. So might be down a touch in the latest story, but the madness will continue.

Average price at £656,512(presume that's a house) means you need an income of £200,000 to get a big enough mortage, and another large wodge to cover fees etc.

▶ Reply

Permalink Reply by LSquared on June 22, 2014 at 12:27

People buying £650k houses are usually trading up, so they don't need a mortgage for the full amount. They may also be starting to inherit or to have parents wanting to transfer assets well ahead of inheritance tax.

▶ Reply

Permalink Reply by Justin Hinchcliffe on June 22, 2014 at 16:13

Nah, the Belmont and Downhills areas are the places to be! I live between the two

▶ Reply

Permalink Reply by markb on June 20, 2014 at 7:53

Not mix or seasonally adjusted and much more volatile. Wouldn't read too much it. Asking prices shot up stupid (30-50% in my area), but when you look at actual transactions it's more like 15-20%, still madness but not that out of whack with the rents charged in the area. So it's not really suprising asking prices are following down, back to the level that the market actually supports.

Land-registry is the most reliable indicator but it lags with a few months.

▶ Reply

Permalink Reply by maggie on June 20, 2014 at 11:26

Sorry John, can't link;-
John Mc..."then why is that property not worth more?"
...because it would be vey cosy if you moved in...
"PLEASE NOTE: .... THE PROPERTY WILL BE SOLD WITH THE CURRENT TENANTS REMAINING"

▶ Reply

Permalink Reply by Justin Hinchcliffe on June 22, 2014 at 16:11

Local estate agents were going mad, talking up property values. One told us our house is now worth £485k--having paid £270k less than five years ago. Madness!!

▶ Reply

Permalink Reply by Elan on June 25, 2014 at 11:03

Just for the record, I said that we have seen a decline in the number of people turning up to open days. But levels of demand are still high and open-days are often a practical solution. And I have seen no sign of falling prices in Harringay, Wood Green or Tottenham. On the contrary, it is still common for the final sale price to be significantly above the published asking price.

▶ Reply

Permalink Reply by Hugh on June 25, 2014 at 11:57

Thanks for clearing that up, Elan. My apologies if I in any way misinterpreted what you said.

▶ Reply

Permalink Reply by Justin Hinchcliffe on June 25, 2014 at 15:39

You closed your Tottenham office weeks after the riots. Talk about 'cutting and running'. The unit then became a pay-day loans outfit. I'd never use Winkworth as a result.

▶ Reply

Permalink Reply by Elan on June 25, 2014 at 16:19

The fact was that all our clients in Tottenham wanted us to market their property under the Harringay Green Lanes office. It helped them to achieve a better result, and this has not changed. The team is combined and located in one place and it works extremely well.

The Tottenham, Seven Sisters and White Hart Lane areas will no doubt transform tremendously with all the regeneration plans underway and possibly new London Overground links which will make Tottenham and Seven Sisters an important transportation hub. I am certain that lots of great business will move in, much to your delight.