House prices across Croydon increased on average by more than five per cent in the 12 months to December 2016, according to research by Hometrack.
Terraced properties saw the biggest price increase, up to 9.52 per cent, which means the average terraced property in Croydon will set you back £396,041 compared to £361,162 in 2015.
Flats saw the second biggest price increase at 8.81 per cent, the average flat in Croydon will now cost you £278,935 compared to £256,350 in 2015.
The borough’s population is rising and set to rise even further, which is having an impact on the demand for homes and the affordability of those homes to buy.
In response to this, the council is developing an ambitious housing programme, setting up a new development company, Brick by Brick Croydon Limited, to build more than 1,000 new and affordable homes across the borough by 2019.
The aim of Brick by Brick is to ensure people in Croydon have access to high-quality, affordable housing and that the full value of development growth is kept in the borough.
To start this programme, the council has identified council-owned sites across the borough, where these new homes could be built. The sites will be transferred to and developed by Brick by Brick.
While detached properties saw the lowest price increase in the borough at 6.03 per cent, the average detached property in Croydon will cost you £703,646 compared to £663,629 in 2015.
Semi-detached properties saw a bigger price increase than detached properties at 6.70 percent, the average semi-detached property in Croydon will now set you back £480,120 compared to £449,971 in 2015.
Mark Hayward, managing director, National Association of Estate Agents (NAEA)
Although figures from Hometrack show property prices in Croydon are on the rise, it’s vital if you’re planning to sell to get an accurate house price valuation.
By using a local reputable NAEA estate agent, you can ensure the right code of conduct is adhered to and you receive the correct information to help sell your house appropriately within the current market conditions.
Ken Hume, MNAEA, MARLA, James Alexander
The local housing market continues to buck the trend with viewings and offers coming in at a healthy pace, mainly driven by a lack of new sellers and a growing realisation that the local area has great future growth potential.
Buyers appear to have already discounted Brexit and Trump as not relevant whilst a lack of supply drives demand.
As indicated by the latest analysis, we see demand at its strongest for properties at the lower end of the market with two and three bedroom houses showing the greatest levels of viewings and interest.
First-time buyers dominate in this sector with buy to let taking a back seat for the first time in many years due to the new tax changes taking effect.
We are already receiving enquiries from potential spring sellers and we are hopeful of an upsurge in supply to equalise the demand that will no doubt grow stronger as the weather gets warmer.
Emma Meakin, MNAEA, Paul Meakin Estate Agents
"Vendors brave the market” showing confidence in us and the marketing services we offer.
Forty Homeowners put their faith in our ability to sell their home in January, demonstrating an increased desire from home owners to move in 2017. Good news for buyers increasing their choice, in a growing market, in a popular area.
Our records show more flat sales to first-time buyers which confirms the governments figures that more first time buyers are stepping on to the property ladder.
The letting market continues to suffer from short supply and high demand, pushing rents up. We await further news from the government’s proposal on longer term lets giving greater security to tenants.
All round a confident start to the first quarter of 2017.
Paul O’Shea MNAEA, Paul O‘Shea Estate Agency
We have had a very busy start to 2017 with a healthy combination of new properties coming onto the market and a high level of applicants registering.
In particular, we have been very busy at the market entry level with lots of first time buyers out viewing and making offers.
This high level of activity is in part due to the borough’s rising population which is set to rise even further and will no doubt continue to have a significant impact on both demand and house prices.
Given this, the decision by Croydon Council to build more than 1,000 new and affordable homes across the borough by 2019 is to be congratulated.
That said, over the next few months we are expecting prices to remain firm due to the lack of properties for sale and strong demand.
Peter Jones MNAEA, PA Jones Property Solutions
We have seen a positive start to 2017 as any negative property market reaction to Brexit hasn't transpired. In fact, in my opinion, the opposite has happened.
Potential buyers are enquiring about properties to view and we have seen a large amount of valuations booked, some which potentially should come onto the market in the near future.
This bodes well for the housing market this year, with continued low interest rates and high demand for property it is a good time to sell and buy.
House prices have increased year on year, however I feel that prices will now stabilize over the next few months which will be beneficial for the market in the long run.
David Lewis ARLA, Leaders
There has been an influx of first-time buyers coming to the area, especially over the last 12 months. Londoners priced out of most other parts of the capital have sensed a combination of great value, long-term capital growth and convenience.
The Tramlink which goes directly into East Croydon station, where trains take you into London Victoria and London Bridge in 18 minutes, is a huge attraction and people are buying into the vast regeneration programme and new Westfield shopping centre which is due to open in 2022.
The growth in house prices means more people are choosing to rent to avoid both the high deposits required for purchasing and enable them to get more for their money. This is good news for investors and demand for rental accommodation is high so returns follow suit.