Islington also has the fourth most expensive house prices, after Kensington & Chelsea, the City of Westminster and Camden.
Graham Stubbs of Chesterton Humberts’ Islington branch said there were a number of factors contributing to this:
Lack of stock
Stubbs said: "There is a serious lack of stock within Islington, especially for houses. There seems to have been little provision for new housing stock in the area, so competition for those coming to the market is extremely fierce and makes upgrading difficult."
Stubbs said: "Mortgage availability wasn’t a huge stumbling block for the buyers that we dealt with during 2008. While they may not have been able to borrow as much as they would have liked, invariably they were still being offered finance. This meant that come the beginning of 2009 there was a lot of pent-up demand from serious buyers."
Confidence and competition
Stubbs said: "At the beginning of 2009 there was a noticeable change in the attitude amongst buyers. In January everyone was looking for a bargain; by February/March, the bargains weren’t there but as long as buyers got a deal they were happy. Since April, competition has been so fierce that buyers have little choice and have to pay fair value, in some cases top end prices are close to those seen in 2007."
Proximity to the City
Stubbs said: "It is clear from Goldman Sachs’ recent results that the City is recovering. Due to the transport links and proximity to the City, Islington is the first to benefit. Also, the majority of our current buyers work in the legal profession, a sector of the market that can prove very affluent during dark economic times."
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