In a strong London sales market, buyers are paying a premium to live near a palace
London buyers hoping to buy a property with a view of Queen Elizabeth II’s Jubilee celebrations should be prepared to pay a premium.
According to a report by property data network LonRes on Friday, selling prices in London rose 5.8% year-on-year in May, reaching an average of £523,666 (US$654,210). For a house close to one of the capital’s many palaces, the prices are, however, significantly higher.
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“Living near a palace in London is, unsurprisingly, expensive,” LonRes chief executive Anthony Payne wrote in the report. “That said, the cost of living near a palace varies greatly depending on which palace you choose.”
The average value of a house near Kensington Palace hit £3.2million in May, while average prices in SW1, an area that includes Buckingham Palace, Westminster Palace and St. James, reached £2.6m.
“The highest prices to pay are for houses close to where today’s royal family lives,” according to Mr Payne. “While the area around the Tower of London, where many aristocrats met an untimely death, commands the lowest average house price.”
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The average price for a property near the Tower of London was £908,600, compared to an average of £1.02 million for homes near Lambeth Palace, the official London residence of the Archbishop of Canterbury, and an average £1.6million for properties near Hampton Court Palace. , former home of Henry VIII.
The overall London market continues to show signs of recovery, with prices now 0.2% above their pre-pandemic averages and new listings up 2.9% from pre-pandemic levels. pandemic too.
While sales activity saw a slight year-on-year decline in May, the luxury market remains relatively strong, with sales of homes in the £2m+ and £5million and more seeing only slight declines, compared to a sharp fall in sales of low-cost properties.
“During May, the prime London sales market remained strong,” Mr Payne wrote.
This article originally appeared on World Mansion.