Domestic buyers return to prime central London property market

 
Kasmira Jefford
Follow Kasmira

UK BUYERS accounted for almost half of property sales in London’s prime postcodes last year as investors regained their confidence that Britain’s economy is on the move.

The boroughs of Kensington & Chelsea and Westminster recorded 49 per cent of property sales to domestic buyers in 2013, according to data out yesterday from estate agents Hamptons International.

This compared with 43 per cent in 2012 and 37 per cent in 2011, as demand has steadily recovered.

The wider London market has also seen a marked increase with British residents accounting for more than three in every four property sales (77 per cent) last year compared with 65 per cent in 2012.

“As the global economy recovers and other asset and investment classes become less risky, prime central London is beginning to look fully priced, cooling interest from international buyers,” Hamptons head of research Johnny Morris said.

“Coupled with the surge in domestic demand across the capital, the dominance of the international buyer in London is slowly but steadily being eroded.”