Streatham's Property Market Continues to Shine

The last 12 months have been an interesting period in the London property market. Firstly, the stamp duty reform meant that buying an average priced flat in Streatham (currently £363,888) would be £2,722 cheaper, whilst buyers paying over £925,000 would pay more under the new regime. Secondly, the government’s Autumn Statement announced the phased reduction of mortgage interest tax relief for buy-to-let investors and the removal of the ‘wear and tear’ tax relief. The most recent blow to landlords is the additional 3% stamp duty imposed from April 2016.

How has this affected the Streatham property market?

Property prices in Streatham are up 11.25% in the last 12 months, putting growth ahead of pricier neighbours Balham, Clapham and even property hotspot Brixton. New developments such as Streatham Hub, and a surge in new cafés and restaurants has prompted an influx of house-hunters attracted by Streatham's varied housing stock and access to green spaces. Future developments such as Streatham Hill's London Square are further proof of SW16’s popularity.

“We’ve had a busy start to 2016 in Streatham with buyer and tenant registrations at record levels. In January we achieved £685/sqf on a one-bedroom flat, 19% above the average price/sqf over the last year. Rental demand is also strong with professional sharers paying up to £780/tenant”, says Misty Dowson, Streatham Branch Manager.

“After five years of double-digit growth in Streatham it is becoming more difficult for first-time buyers to get on the property ladder but, with the recent buy-to-let tax changes, first-time buyers may have more choice in 2016 if landlords start selling up.”

“Overall, Streatham continues to outperform surrounding areas and remains an excellent 5-year investment. Rents increased by around 10% in 2015 and, with a limited supply of properties and increased demand, are likely to rise further.”

This article first appeared in Heart Streatham magazine's February 2016 edition