Some recent press reporting of the London property market news is as close to “fake news” as you will ever see.
It gives the impression of a market in free fall, particularly in the £10m plus price range. The reality is a little different. However, it is easy to draw the wrong conclusions when you read some of these stories.
A recent example, reported in the Sunday Times no less, tells the story of a South Kensington ”Mansion” reduced in price from £37.5m to £20m and now being sold by receivers (like a repossession). The esteemed reporter used this as an example of the London property market for these houses collapsing.
Instead, in reality, this is just an example of a greedy developer who bought the wrong house and then spent far too much money on it trying to capture some elusive oligarch type buyer who never materialised. The house was never worth more than c.£20m.
This is no market correction or bubble bursting.
It is a seller with unrealistic expectations and a bank losing patience. The right houses in the right locations, correctly priced are selling.