London house prices decline in November

London house prices fell below £500,000 on average in November, according to a survey by estate agent Haart.

The survey revealed that London house prices fell overall by 1.9%. However, house prices in some of the wealthier south-western districts in the capital dropped by 14%, further evidence that 2014’s property boom is cooling.

Haart said of the area stretching Richmond to Streatham: “House prices in this postcode area have been particularly ‘frothy’ in the good times over the past few years, so will naturally see a more significant dip during the ‘cooling off’ period”.

Rents have also started falling, according to separate data from letting agents Reeds Rain and Your Move. It found that rents across England and Wales dropped to £768 in November – down 0.2% since October, with the biggest falls in the south-east.

However, house prices rose nationally by 0.6% during November. Haart said it was confident prices nationally would continue to rise in 2015, with 11 buyers chasing each property for sale. “We are optimistic for 2015 and while we may not see the market reach the giddy heights of the first half of this year, which is no bad thing, we predict that property price growth will remain strong and confidence will continue to ride a high as we approach the next election.”