Putney, SW15 A local market review - CBRE
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Putney, SW15 A local market review
Putney snapshot Location House price growth over the last year
Putney is located in the
south-west of Wandsworth.
It is served by good transport
Putney is a picturesque riverside location
in the London borough of Wandsworth.
It’s home to boutique shops, restaurants,
bars and is surrounded by vast green
13%
links, with the shortest journey spaces; in particular, Wandsworth Park is
to Waterloo being 18 minutes. on its doorstep and Richmond Park is just
two miles away. Nearby Putney Village
Its popularity as a riverside offers a tranquil location as it is surrounded
residential location means it by Putney Heath. Putney is a sought after
has above average house prices residential area, popular with young
professionals and students. Boasting
in comparison with London great transport links, it is easy to get into
overall and experienced strong central London and only 18 miles from
house price growth of 13% Heathrow Airport.
over the last year.
Hyde Park
Westfield Hyde Park
Corner
South Acton
Kensington Palace
Shepherd’s Bush
Knightsbridge
Hammersmith Victoria
Chiswick Park
Gloucester Road
Earls Court
Turnham Green
Sloane Square
Hammersmith
Chiswick House
and Gardens West Brompton
Fulham Park
Imperial Wharf Battersea Park
London Wetland centre
Parsons Green Battersea Park
Barnes Bridge
Putney Bridge
Hurlingham Clapham Junction
Mortlake Park
Wandsworth Town Clapham
Putney Wandsworth Common
Park
East Putney
University of
Roehampton
Clapham
Wandsworth South
Putney Heath Common
Richmond Park
Southfields
Balham
Wimbledon Common Earlsfield
London housing market overview
In the post-recession recovery period
London’s housing market has performed
strongly, outperforming the wider UK market
by a significant margin. Prices across the city
are now 43% above their previous peak.
Some of the strongest growth occurred in
2014 with annual growth peaking at 21%.
Towards the end of the year and moving into
2015 activity has slowed and growth started
to cool. However, this is something we
anticipated and we welcome an orderly
slowdown. Fears of a London house price
bubble have subsided and the market is
maintaining sustainable and robust growth,
with 9% inflation in 2015.
Moreover, activity in the new build market
remains extremely strong and demand is
high, with 67% of the 51,448 new build
homes under construction already sold.
This is the highest absorption rate of new
build stock in recent years.
The government has recently announced
more favourable terms for the Help to Buy
scheme in London. To reflect the higher
prices, first time buyers in London will have
access to a 40% Help to Buy loan (compared Tileman House, Putney SW15
with 20% currently). This loan is interest
free for five years and offered on new build London’s new build market
properties up to £600,000. This incentive
is likely to stimulate the market by
70,000 80%
encouraging first time buyers. This increase
in demand should have the roll-on effect of
further boosting the building market.
70%
60,000
60%
50,000
Private units under construction
50%
40,000
40%
30,000
30%
20,000
20%
10,000
10%
0 0
2001–2006
average
2007
2008
2009
2010
2011
2012
2013
2014
2015
Sold Unsold Proportion Sold (RHS)
Local demographic and Tenure profile
economic trends
100%
The population of the London Borough It attracts a young and relatively affluent
of Wandsworth currently stands at 322,780, demographic, with a high share of young 90% 20%
26%
having increased by 28% from 252,860 singles and students. 30% of the
in 2001. It is expected to grow by a further population is aged between 25 and 34; 80%
6% to 342,375 by 2021. this compares with 14% for the UK as a
Proportion of households
whole. As a result, there is a high demand 70%
22% 32%
Despite this marked increase in population for privately rented property; the
60%
and the resulting demand for homes in proportion of renters has increased from
the area, only 5,114 new homes have 22% in 2001 to 32% now.
50%
been built across the borough since
2010. This suggests an undersupply of However, by London standards, rents 40%
housing of nearly 1,500 homes, compared are fairly reasonable despite increasing
with target levels. So, as is typical of by 6% over the year, they stand at 30% 52% 46%
London, demand for homes hugely £1,834pcm, lower than the £1,889pcm
outweighs supply. across Wandsworth and £2,080pcm 20%
across London.
Putney itself has approximately 60,000 10%
residents, which makes up around 20%
of Wandsworth’s population. Average rental values in Wandsworth 2001 2011
£1,834pcm
Wandsworth enjoys high employment Social rented
of 78.5% in comparison with the London Private rented
average of 72.2%. In addition, earnings Owner occupied
in Wandsworth average at £40,820,
26% higher than the London average
of £32,297.
Property prices in the areas surrounding PutneyLocal housing market trends Putney price comparison
Many people who start by renting in Putney Focusing on flats, apartments in Putney £900,000
decide to settle in the area and buy a are achieving average prices of £536,728,
home there. As a result, the local market 11% higher than the London average of £800,000
is buoyant, Wandsworth experienced growth £483,840, but nearly 50% lower than in ever
£700,000
of 14% last year and Putney had growth popular Fulham. However, given its close
Average apartment price
of 13%. However, this strong growth is a proximity to higher value areas such as
£600,000
relatively recent development, with prices Fulham and Barnes, it is only a matter of
in Wandsworth prior to 2012 growing time before Putney’s prices rise to be in £500,000
broadly in line with the London average. line with its more affluent neighbours.
However, since then, growth has diverged, £400,000
with Wandsworth outperforming the Aesthetically, Putney offers the tranquillity
London average; Wandsworth has of riverside living together with beautiful £300,000
experienced 43% growth since 2012, green spaces. A view of the countryside,
compared with 36% for London. city skyline or river have been shown to £200,000
add substantial value to a property;
£100,000
According to Molior, the average new build in fact, our research shows that a riverside
property price in Putney is just below location can add around 10% to 20% uplift
£1,000 psf. Comparatively, prices in on the price of a property. These visual
Putney
Wandsworth
Mortlake
Barnes
Fulham
Fulham currently sit at £1,100psf, making aspects together with its reasonable
Putney a more affordable choice. commuter times into central London
and relative affordability, mean that Putney
More specifically, the latest data shows offers something strongly sought after
units in SW15 (Putney) sold for an average and rarely found in London: lifestyle.
of £715,366, broadly the same as the
borough average, but 26% higher than
the London average of £569,418. However, 5 year
Putney remains 24% more affordable than 2015 2016 2017 2018 2019 growth
the nearby area of Barnes and is significantly 2015-19
cheaper than Fulham, where properties sell
in excess of £1million.
UK 5% 3% 3% 4% 5% 22%
London 9% 5% 3% 5% 6% 31%
Average house price index
200
Average house price index (Base = Dec 2009)
180
160
140
120
100
80
2009 2010 2011 2012 2013 2014 2015
Wandsworth London BaseContacts Jennet Siebrits Mark Collins
Head of Residential Research Chairman of Residential
+44 20 7182 2066 +44 20 7182 2264
jennet.siebrits@cbre.com mark.collins2@cbre.com
Tom Bryant Jack Hudson
Director Residential Development Sales Negotiator Residential Development
Sales & Consultancy Sales & Consultancy
+44 20 7182 2562 +44 20 7182 2007
tom.bryant@cbre.com jack.hudson@cbre.com
Sources CBRE, Molior, Rightmove, tfl.gov.uk (7/01/2016)
Disclaimer 2015 CBRE CBRE Limited confirms that information contained herein, including projections, has been obtained from
sources believed to be reliable. While we do not doubt their accuracy, we have not verified them and make
no guarantee, warranty or representation about them. It is your responsibility to confirm independently their
accuracy and completeness. This information is presented exclusively for use by CBRE clients and
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permission of CBRE. Images provided are computer generated. © 2015 CBRE Ltd.You can also read
