ED house prices: sanity check please

[Wanhope]

Thanks all for responses so far (including those who've responded by PM). I know ED is still relatively cheap compared with other parts of South London such as Putney, Clapham etc., but there has been a pronounced jump in pricing in just the last six months and I was interested to know what might be driving that and whether people were indeed paying the asking prices. Sounds like they may be, though that doesn't tally with recent data I've looked at on sold prices in the area, where the average is still closer to asking prices of six months ago. So, something is amiss. Anyway, we may now look at other areas; I'd just been reluctant to concede that we'd been priced out of this area, having already moved from another for the same reason (ironically enough, that was N16 -- see above post from mc_hall on the madness there).

[benmorg]

Wanhope Wrote:

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> Thanks all for responses so far (including those

> who've responded by PM). I know ED is still

> relatively cheap compared with other parts of

> South London such as Putney, Clapham etc., but

> there has been a pronounced jump in pricing in

> just the last six months and I was interested to

> know what might be driving that and whether people

> were indeed paying the asking prices. Sounds like

> they may be, though that doesn't tally with recent

> data I've looked at on sold prices in the area,

> where the average is still closer to asking prices

> of six months ago. So, something is amiss.

> Anyway, we may now look at other areas; I'd just

> been reluctant to concede that we'd been priced

> out of this area, having already moved from

> another for the same reason (ironically enough,

> that was N16 -- see above post from mc_hall on the

> madness there).

One of the reasons for the jump is seasonal - the main buying season is spring to early summer, which is when most of the annual rise in average house prices happens. After end of June, the market gets quieter and prices sag. There's usually an increase in stock in april-june when new sellers come to market, but this year stock has remained very tight, pushing prices up faster than normal. There are various reasons for stock remaining tight, including rising rents encouraging landlords to hold onto portfolios and the widespread perception that London property is a safe bet. London is benefiting from flow of money from eurozone looking for safe havens, which mostly affects prime central & west areas, but the overspill also hikes prices further down the ladder to a diminishing extent, affecting good houses most and smaller flats the least.

I don't think things can carry on like this without another bubble developing. Then again, if they keep printing money who knows what will happen.

[simonethebeaver]

My guess is that the new ELL in Forest Hill and Honor Oak is leading to rising prices at the southerly end of ED. I was watching prices for about a year before we could go on the market and another six months after that and the rise has been most dramatic there. Nunhead is also shooting up though.

We sold in the spring for about 35k more than the flat was valued the previous spring, but are paying less for the ED house we're buying than it cost in 2007. More than 500k sadly but we have specific requirements that ruled cheaper houses out. And technically it's four bedrooms because the big front bedroom (Victorian layout) has been divided up. But not really a four bed house.

[mrcee]

speaking as someone who crossed the river, I think ELL has had a huge impact because previously I looked at the London Tube Map in relation to my work place to decide whether to research an area. Because a lot of south east london didnt used to show up, they werent at the top of the list to check out however since ELL it opens eyes to new areas.

Also a lot of the city seems to be moving towards canary wharf and media/IT companies to shoreditch, both of which are easily accessible due to ELL increasing the desirability.

[Whittler]

Don't despair Wanhope, i live in SE23 (and have done for 12 years) and love it - i have a (still less that ED prices) house on Dulwich Estate with access to private communal woodland, lovely neighbours, great transport links (ELL service is brilliant from FH and Honor Oak) and we have some good things happening in the area in terms of shops/restaurants/bars/new swimming pool and a new and successful little food fair organised by the Forest Hill Society. Also, don't rule out the SE26 postcode - Kirkdale, Upper Sydenham and also areas towards Penge (shock horror) which are still good value; there are, believe it or not, plenty of great places to live with a good neighbourhood feel just outside ED if you scout around and adopt a bit more of a 'pioneer' spirit.

Blimey, even Beyonce and Jay-Z give Forest Hill a thumbs up, if you believe what you read in The Sun! http://www.thesun.co.uk/sol/homepage/showbiz/bizarre/4387678/Jay-Z-and-Beyonce-visit-Forest-Hill-cafe.html

[dulwichgirl2]

Try Nunhead instead - more vfm and ok schools. (Also thank anyone who pm'ed you by pm!)

I think it is a bit hit and miss. Think only in terms of square footage and ignore the number of bedrooms. I would also be aware that savvy sellers do up their houses with eg highly expensive curtains etc which persuade some foolish buyers to stump up massively. Keep sf as your yardstick. Ask how long it has been on market and check property snakes and ladders website.

[tarafitness]

We were fortunate enough to get our 4 bed house for ?450k, but it was previously used as a bedsit and needed a lot of work... still does 2 years on!

I'd not recommend anybody do what we did - i.e. buy a fixer-upper, unless a) you have reasonable neighbours sympathetic to people who want to create a nice family home (we don't, one side is a really awful woman who inherited her Mother's house and can't understand why we'd buy a house that needed work... er, cost!), and b) a rock solid relationship and/or a love of a challenge. Some people thrive on living in chaos, I don't! Can safely say I'd never do the same thing again unless we were able to live somewhere else while the work was being done!!

A 3 bed we visited on our road sold for only ?100k more than ours and that was really the finished article, beautiful place, side return extension, perfect condition. Now similar houses are going for ?100k more on the same road with same spec.

If we hadn't managed to secure our place we'd have definitely moved to nunhead, we saw a few houses there that were lovely, really massive with huuuuge gardens (ours is postage-stamp sized!!).

Forest Hill/Honor Oak look like nice places. We travel back via Forest Hill if we've been out late in the city, the east london line is very good and then it's a quick bus ride back down lordship lane... love how well connected ED is!

[Lishyloo]

It sounds like you have a grudge just because she inherited her home

[James]

Gotta be honest, some of the houses in Nunhead are lovely but much of it is quite grim. East Dulwich it isn't.

[fazer71]

I looked and looked but it's either more expensive or dull / boring with little potential, West Dulwich Forest Hill Honour oak would be my choice over Gangsataaa Nunhead.

The old three property rules Location Location and Location. Every time?.

East Dulwich is around ?500-?600 a sq ft. which compared to anywhere else with a heart looks like good value especially Paris where I?m also buying prices have gone totally potty.

[dulwichgirl2]

Paris? Wow. I wldnt know where to start there. The 8th holds its value I suppose but after that I would have no clue.

Stamp duty is another nightmare - really eating into middle income deposits. Very unfair tax.

[londonhan]

James Wrote:

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> Gotta be honest, some of the houses in Nunhead are

> lovely but much of it is quite grim. East Dulwich

> it isn't.

Got to say, having lived in Nunhead for the last 18 months, at the Peckham Rye end, its not at all grim. We originally looked in ED, realised we were priced out, shifted to Peckham Rye, same again, and landed up here. Massive houses, quiet streets and the Rye on our doorstep. Not grim at all. Thought id have my say!

[benmorg]

James Wrote:

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> Gotta be honest, some of the houses in Nunhead are

> lovely but much of it is quite grim. East Dulwich

> it isn't.

It's nice in the streets near the cemetery - large victorian terraces, much bigger than ED average with decent gardens. Limesford Road is probably the best. The ELL service at Brockley is a 10 min walk from north end of Ivydale Road. The problem with Nunhead is that there isn't much there in the way of shops, pubs & restaurants. I lived there for 7 years and enjoyed the peace but didn't go to a pub once. I didn't see any evidence of gangs and never had problems with burglars or muggers - that's worse in ED, where there are deeper pockets to pick.

[fazer71]

dulwichgirl2 Wrote:

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> Paris? Wow. I wldnt know where to start there. The

> 8th holds its value I suppose but after that I

> would have no clue.

>

> Stamp duty is another nightmare - really eating

> into middle income deposits. Very unfair tax.

11th Faubourg Saint-Antoine ?750 a sq ft

Stamp duty is nothing compared to the buyer paying the agents fees at 6 to 7% !!!!

We don't know how good we've got it!

[dulwichgirl2]

By agent do you mean estate agent? 6pc? Dear god, don't tell Foxtons that.

Some of the ed terraces are tiny, let's face it. Having said that, 770 sf places in sw6 do go for about 600. They have the potential to do the loft if you have any cash or energy left!

[fazer71]

In france Stamp Duty (paid by the buyer) 0.6% for property less than five years old, 5.9% for older properties. This is included in the fees paid to the Notaire. Where an estate agent is involved - allow between 5 and 10%. 10% is quite commonly charged.

Dulwich Village is ?750-?900 sqft East Duwlich is ?500-?600 sqft Chelsea is ?1,600 - ?2,300 sqft

?770 sounds cheap for sw6 ?

[number 2]

who are these gangstas of whom you speak in nunhead? we've lived here for 5 years now and never had a glimpse of trouble *touches wood*. i'd say the dog kennel hill estate and its environs is a great deal more dodgy than nunhead (lived there for a long time too!)

[gregson74]

Nunhead all the way. Much more for your money (for now), loads of green spaces such as the cemetery, one tree hill, telegraph hill and the rye, nice streets such as hichisson and limesford. Very good community vibe and much lower crime rates than ed. I've lived in both and certainly prefer nunhead but then I've a young child and have little need for the cheesy disco bars.

[Gerrard]

That is simply false, gregson. Take a look at the crime figures and compare Nunhead against ED, Peckham Rye, Forest Hill and Honor Oak. Reported crime in Nunhead is far greater than any of the other areas (considered a hot spot compared to the amber for the other areas). Hence one of the reasons why we decided against a move there. And I have never been to any of the cheesy disco bars either...

Agree with some of the other points you raise, there are some nice streets and green spaces.

[bsand]

Police Crime Map April 2012

Nunhead - all crime 874

East Dulwich - all crime 446

http://www.police.uk/crime/?q=London,%20Greater%20London%20SE22,%20UK#crimetypes/2012-04

There's a reason why Nunhead is cheaper and that's it - you see a lot of bars and security gates there as well.

[Gidget]

Parts of Nunhead run into Queens Road, so the crime rate would be higher there. There are also different parts of Peckham, despite all having SE15 postcodes, just like Nunhead does. Ondine and Oglander Road are both SE15 but they do not appear typically Peckham, whatever that may be, media hyping, Damilola Taylor's murder etc. If you step foot off Oglander Road onto Grove Vale you are then in SE22 and v. close to ED station.

[Ted Max]

We're not even at pudding yet and the wine's running out. Wake me up when it's time for the unsatisfactory snog with the hostess at the base of the stairs.

[hellosailor]

Hmm, you can argue about particular roads but I think your assertion that 'Nunhead has much lower crime rates than East Dulwich' is categorically proved wrong by the stats bsand has just posted...

[????]

Ted. What time did you order the taxi for? I was thinking of opening some Port but if you've got to get back for the babysitter...

[*Bob*]

Our road is definitely the best road. Prior to that, the best road was the road we lived on before we moved to this road. Thank God we moved though - we're definitely on the best road now. At least, until we move again, of course.