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How Have Finchley House Prices Changed Over the Last Year?

Posted on Tuesday, May 11, 2021

The COVID-19 pandemic seriously impacted the UK’s property market in 2020. However, a few parts of the country managed to emerge relatively unscathed – and Finchley was one of them.

If you’re thinking about moving to Finchley, here’s everything you need to know about the local housing market during this time.

Pre-pandemic property market in Finchley

Finchley’s housing market was affected by the EU referendum in 2016, like many other areas in London. The Brexit decision created uncertainty, which reduced volumes of sales and property prices alike. However, the impact was mild, and by the start of 2020, it seemed as if the market was well on the way to recovery.

Then, in March 2020, the UK was placed in lockdown. Numbers of sales dropped significantly; largely because house viewings were forbidden at this point. The market stagnated, and average home prices dropped slightly.

The introduction of the stamp duty break

By summer, the first lockdown had come to an end. Viewings were permitted once again, which immediately boosted numbers of transactions.

The government’s introduction of a stamp duty holiday (valid against all properties priced below £500,000) encouraged homebuyers to invest in the area. This, combined with low-rate mortgages and other incentives (such as Help to Buy) set property prices rising once again.

Finchley’s house prices by the end of 2020

The number of property sales that took place in Finchley in 2020 was less than in previous years. Average prices dipped slightly; with a typical house costing £888,169 in 2020 (in 2019, it was £917,160). Apartments followed the same trend, falling from £442,493 to £416,947.

However, given the circumstances, Finchley’s property market has been impressively resilient. Many properties in the area are priced at higher than £500,000, which means the stamp duty holiday hasn’t provided people with so much incentive to purchase properties here. Despite that fact, interest has still been high – which is testament to the area’s extensive appeal.

North Finchley – a property hotspot

In 2020, North Finchley enjoyed a surge in popularity, and was named by The Evening Standard as one of the top three ‘property boom’ areas. Average property prices rose by 15% year-on-year here, and its desirability was mostly boosted by its attractive period homes, excellent transport links, and wide selection of high-performing schools.

Finchley – what does the future hold?

Experts predict the following for Finchley’s property market:

-          Flats will continue to be popular.

Apartments were the most popular property type in 2020; a trend that looks set to continue in 2021. There are currently far more flats on the market than houses, and they tend to be snapped up quickly.

 

-          Outdoor space / working space is desirable.

The lockdown left many homebuyers keen to invest in properties with a garden, or some form of outdoor space, like a balcony. Allocated parking was a top priority in 2020 too and will probably remain so for 2021.

 

-          Prices may flatline, then rise again.

At present, average property prices are slightly lower than they were before. However, most experts agree this won’t be the case for long. As such, it makes good sense to invest sooner rather than later.