In the first of his monthly messages from the Royal Borough of Kensington & Chelsea, Nicholas Baker from YOUR MOVE Bromptons highlights an interesting case from this unique local property market.

YOUR MOVE Bromptons, located in The Royal Borough of Kensington & Chelsea, is used to seeing property prices increase even when the economy dictates that they should be dropping. With plentiful overseas cash buyers, and a limited amount of stock in the prime areas, our market is always setting new highs.

We recently had an interesting case in point with a property located directly across the road from our offices. A three bedroom flat in a Victorian era mansion block of 850 square feet. We sold this flat in July 2011 for £750,000 to an older French gentleman who wanted to use it as his pied-a-terre while he was in London. He had only been in the property a few months when his health took a turn for the worse, and he asked YOUR MOVE Bromptons to sell it for him. He had not done any work to the flat. It was exactly as he purchased it, except for the furniture.

Living room when the property sold for £750,000 in July 2011

We brought it on the market in December 2011, and by January it was sold to an Irish lady for £820,000. This property gained £10,000 in value for each of the seven months that the French gentleman owned it!

Living room when the property sold for £820,000 in January 2012

Of course with the stamp duty and agency fees, the seller will not realise a great deal of profit, but this example clearly demonstrates why Kensington & Chelsea is such a great investment. The prices to buy in the area are very high, but the returns are even higher.

Exterior of the Victorian Mansion Block on Old Brompton Road

If you would like to discuss the market in Kensington & Chelsea, please get in touch with YOUR MOVE Bromptons. We are located at 249 Old Brompton Road, London SW5 9HP.
Our phone number is 0207 373 2430