Friday property news update

Prime London prices climb the most in five years
Written By:
Liam Bailey, Knight Frank
2 minutes to read
Categories: Covid-19

Prime London prices climb

Average prices in London’s prime property market grew at their fastest monthly rate in five years during August. Prices in higher-value areas of London have responded to resurgent levels of activity since the market re-opened in May, writes Tom Bill. You can find our forecast for the next five years here

Meanwhile, average prime London rental values continued to decline in August as weaker than normal seasonal demand was compounded by higher levels of supply.

Vaccine still on track for year end

AstraZeneca should still know by the year-end whether its experimental vaccine protects people against coronavirus, provided it's clear to resume trials soon, according to the firm's chief executive. The UK-developed vaccine is just one of eight globally at the final stage of trials before approval.

The race for a vaccine has trained the world’s focus on the development of treatments, and health and well being more broadly. These factors are likely to become a greater focus for homebuyers as a result of the pandemic, writes Flora Harley. 

Brexit brinkmanship

In an echo of the brinkmanship before previous Brexit deadlines, the European Union told Britain yesterday it should urgently scrap a plan to break the divorce treaty. The government refused and the pound dipped. 

Brexit's return to the front pages this week is likely to continue as the deadline approaches, buffeting financial markets and putting pressure on the pound. David Frost, the UK's chief negotiator, said the government was seeking to reach agreement by the middle of October

The growth of equity release

Older homeowners have accrued approximately £3.1 trillion in property wealth following decades of house price growth and many are seeking to access that wealth via equity release products. Homeowners took out some 45,000 equity release plans during the year to Q1 2020, up 16% on the same period two years earlier.

Greater scrutiny has understandably accompanied that growth, and some scepticism lingers following the limited advice and poor product choice that prevailed two decades ago. Knight Frank Finance yesterday released its first equity release survey revealing what consumers really think. 

In other news...

Bricks build momentum for analysts and investors; UK considering rapid-result Covid tests for up to 10m people a day; Hong Kong’s reign as world’s freest economy at risk.