Samir Salya discusses London property prices

Official statistics show that London is losing people from every age group, apart from those in their twenties.

People from all other age groups are leaving the capital due to the extremely high property prices becoming unsustainable.

Five-year high

Last year, up to June 2016, people leaving London (net outward migration) reached 93,000 people. This is an astonishing 80% higher than 2011, analysis of the official figures show.

So, why is the number of people leaving London at a five-year high? Perhaps unsurprisingly, for many people it’s all down to property prices.

Estate agent Savills analysed the data from the Office for National Statistics and the Land Registry and came to the conclusion that other cities have become a haven for people looking to escape the rocketing property prices in London.

Popular cities

Cities like Canterbury, Dartford, Bristol and Cambridge are increasingly popular with those looking for cheaper housing than in the capital.

Figures show that one of the most popular destinations for people over 25 who are leaving Islington is St Albans in Herts. The average home in St Albans is around £173,000 cheaper than Islington.

The most popular move from west London is to Slough, where people are saving an average of £241,000 on comparable houses.

For all of the homeowners choosing to leave London, the average house price in the capital was £580,000 and in their destination of choice £333,000.

Renters also leaving

The figures show that it’s not just home owners who are fleeing London, but renters as well.

Over the last 10 years, rents in the city have risen by a third, compared with just 18% in the south west, 13% in the West Midlands and 11% in the north west.

The only age group of people coming into London is those in their 20s. Every other age group, ranging from pensioners to teenagers, are trying to leave.

Climbing the ladder

A big reason for people leaving is their desire to climb up the housing ladder. This is just not possible in London for many people.

The fact that property prices appear to be levelling out in London has given people the confidence to take the chance and sell up.

Public servants priced out

Statistics show that increasing numbers of teachers, care workers, social workers and nurses are forced to move outside of London due to the sheer cost of rent and mortgages.

About Samir Salya

Samir Salya is the Chairman of Reign Holdings and is involved in real estate and construction within the UAE and UK. Samir holds over 20 years of experience in executive management, business expansion, performance improvement, sales and marketing