AS rents rise across the capital, more people will move to ‘commuter hotspots’ in Bucks, according to an estate agent.
According to Savills, rents across the country, including the capital, are set to rise ahead of inflation (26 per cent by 2017) over the next five years as many families are unable to raise the deposits needed to buy homes.
Tanya Blake, Savills’ head of lettings in the Home Counties, said: “More and more people are now seeking to rent rather than buy and we may well find Londoners venturing out in search of better value in the towns and villages beyond the M25.”
Savills added the weak economic recovery has seen prime markets suffer, but commuter hotspots, like Beaconsfield, seem to be the exception.
The estate agent said it predicts the ‘long-awaited ripple of wealth’ to have an effect on the ‘commuter zone’ around London next year, meaning locations such as Beaconsfield, Sevenoaks and Guildford will see values rise by 1 per cent as people move from the city. If so, these locations will be the only prime markets to see any growth in 2013.
Head of Savills’ Beaconsfield office, Andrew Cronan, said: “South Bucks enjoyed a productive month for sales during October. This followed a disappointing summer with buyers unwilling to commit to a purchase due to economic uncertainty. The mood among buyers seems to have altered and where property is being marketed at a guide price that reflects the market, deals are being done. We are once again enjoying strong demand from families leaving London as well as overseas buyers who see residential values in this area as resilient.”
Director of Savills’ world research, Yolande Barnes, said: “Although the gap between prime London and prime regional prices has never been wider, buyers have lacked the confidence to exploit this gap.”
She added that as the economy improves this is expected to change, with people moving to towns like Beaconsfield, but that it will be 2016 before the area sees a real difference.