Last Updated on : 31st August 2016

With many prospective buyers, investors and sellers still unsure of the right move to make post Brexit, Portico London estate agents have put some key questions to their resident property guru Mark Lawrinson, and financial experts, Capricorn Financial Consultancy.


Is now a good or bad time to buy property in London?
“If it’s an investment you’re after, then as long as you use the advice available to you, you can protect your assets and minimise any risk. Buy in areas that are undergoing gentrification or experiencing infrastructure investment, that offer healthy yields so mortgage repayments aren’t a problem. As London has proven in the past when it bounced back from the recession, it’s an extremely resilient city, so if you are buying with a medium to long-term view then your investment as a business or home is safe.

If you’re buying a home, then holding off could be equally as detrimental as it could be positive. For example, a lot of buyers haven’t managed to get on the property ladder because they were determined to chase the lowest prices post the last financial crisis. Unfortunately while waiting for prices to drop, they did the opposite, and they ended up watching the market rise again to levels unaffordable to them.

Money is as cheap as it can be to borrow, which makes getting on the ladder that bit easier and moving up it more affordable. Unfortunately nobody can predict the future, so if you’re in a position to buy today then don’t hesitate; remember you’re buying a home first and an investment second”, says Mark Lawrinson, Regional Director of Portico.

home_keysWhat are the best mortgage deals currently available?
“The referendum result caused people to pause and consider their position, but over the past month we have been meeting with clients who are now wanting to press ahead with their property purchase, as they are recognising that the mortgage market is in a very competitive space with lenders reducing their product rates to attract as much business as possible. This month’s decision by the Monetary Policy Committee to reduce the Bank of England Base Rate has resulted in lenders reducing rates further. This means interest rates are now at historically low levels, so a mortgage which may have previously been unaffordable is now within reach,” says Alanzo Seville, Mortgage & Insurance Adviser, Capricorn.

Worked example…
“As an example: if a couple are looking to purchase a new residential property for £450,000 with a 15% deposit (so £67,500) there is a 2 year tracker rate available at 1.54% with monthly payments of £1,546 over a term of 25 years, on a capital repayment basis. If they prefer a fixed rate product, there is a 1.65% 2 year fixed rate available with monthly payments of £1,565.

If the same couple are looking to purchase a buy to let property for £450,000 with a 25% deposit (so £112,500) there is a 2 year tracker rate available at 2.20% with monthly payments of £634 over a term of 25 years on an interest only basis. If they prefer a fixed rate product, there is a 2.34% 2 year fixed rate available with monthly payments of £668.

The mortgage products mentioned above are just a couple of examples of what can be achieved. The exact rate available will depend on your individual circumstances.” Alanzo Seville, Mortgage & Insurance Adviser, Capricorn.


Is now a good or bad time to sell my property in London?
If you’re looking to sell this year, we’d advise you to act and not wait to see how the market pans out. After all, no one can predict the market.

Housing activity in London usually spikes during the summer months, and currently there is strong demand from buyers looking for a property. If you are thinking of upsizing or moving out of London, it’s very possible to achieve asking price with the help of a good agent. In the current market, just advertising your property for sale will not get it sold; in good markets good agents ensure they maximise the price you get, in difficult markets good agents get you a good price and help you actually achieve the sale.

Remember you are employing a professional advisor, so look to your agent to develop the correct marketing strategy and plan for getting your property sold for the best possible price. A good agent should be able to discuss the plan and strategy they would deploy and give you regular and informative feedback. It’s a cliché term but you really do get what you pay for!

If you would like to buy, sell or let your property, or if you’d like any more information on the market, give Portico estate agents a ring today on 0207 099 4000.

Portico London estate agents have branches in ActonBatterseaBloomsburyCamdenClaphamDulwich,FulhamHammersmithHighburyIslingtonWest HampsteadBethnal GreenLeytonWalthamstowIlfordForest GateWoodford and Chigwell.

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