Period properties have slipped down the value scale according to a new survey. The research by CBRE has found that new build flats in London are worth approximately 30% more than older ones.
The gap is most pronounced in Kensington & Chelsea where new builds were sold for 55% more than older flats.
“New builds are outperforming old properties for several reasons,” Jennet Siebrits, Head of Residential Research, CBRE.
“For the buyer, new builds come with the reassurance of the NHBC 10 year guarantee. For the seller, particularly in prime boroughs where land values are high, properties need to look and feel contemporary in order to secure the best prices.”
London boroughs showing largest new build premium on flats sold in 2012 Q2
|London Borough||Average new build price||Average second hand price||Price difference||New build premium/discount|
|1) Kensington & Chelsea||£2,301,666||£1,025,075||£1,276,591||55.46%|
|2) City of Westminster||£1,755,516||£897,985||£857,531||48.85%|
|3) City of London||£845,187||£466,176||£379,011||44.84%|
|4) Hammersmith & Fulham||£771,173||£436,901||£334,272||43.35%|
|9) Barking & Dagenham||£158,820||£122,824||£35,996||22.66%|
|10) Kingston Upon Thames||£339,583||£264,795||£74,788||22.02%|