Docklands News

In September, the Bank of England reported a significant increase in mortgage approvals, with 65,600 loans granted, marking a rise of 700 from August. This figure represents the highest level since August 2022. Alice Haine, personal finance analyst for Bestinvest by Evelyn Partners, explained that “lower inflation, improving borrowing conditions and robust income growth have eased the affordability challenge for many buyers.” The report also highlighted a jump in remortgaging approvals, which rose by 3,100 to 30,800. As the Bank of England cut interest rates to 5% in August, the property sector is poised for further activity, although uncertainty looms ahead of the upcoming Budget statement, where Chancellor Rachel Reeves may consider changes to stamp duty. 

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After seven years on the market, London's most derelict house has been sold for £2m, despite its poor condition. Located in Maida Vale, the property was initially listed for £2.5m in 2017. Noah Pearlman, a consultant at Harding Green, stated that the new owners will likely need to invest around £750,000 in renovations, potentially increasing its value to £3m. He described the sale as a "particularly difficult" one, noting: "It was in really poor condition. It was terrible." The house, once home to Sid Vicious of the Sex Pistols, is situated in an area known for its Victorian architecture and proximity to Abbey Road Studios. 

Metro  

British Land and AustralianSuper have launched a 170-meter timber boardwalk at Canada Water, east London, inspired by the area’s historical ties to the timber trade. Designed by architect Asif Khan, this landmark links the community with the natural environment, transforming the former Surrey Docks into a wildlife-friendly space. As the development's first phase of homes, workspaces, and retail prepares to open, the boardwalk aims to become a community centerpiece, with cafes and restaurants planned along its southern edge. The London Wildlife Trust and Townshend Landscape Architects are collaborating on this ecological project to enhance biodiversity and support nature's recovery in the area.

London Evening Standard  

Chowdhury Walk, designed by Al-Jawad Pike, has been awarded the 2024 Neave Brown Award for Housing, shortly after missing out on the RIBA Stirling Prize. This project, located in Hackney, features 11 homes built on a former garage site, with seven available for social rent. Jessam Al-Jawad, Founding Partner at Al-Jawad Pike, remarked: “Chowdhury Walk... demonstrates what is possible when a local authority elects to develop its own brownfield sites to address housing need.” The design prioritises creativity within a limited budget, showcasing innovative solutions to the housing crisis. The development includes two, three, and four-bedroom homes, uniquely staggered to enhance privacy and solar gain. Astrid Smitham, Jury Chair, praised the project for its uplifting design and efficient use of space, contributing to Hackney Council's initiative to build new council homes. 

The Standard (18/10/2024)  

The uptake of longer-term mortgages in the UK has significantly declined, with only 390 new loans taken out in August, a stark drop from 1,690 in March last year. This represents just 0.48% of all new loans, as British homeowners continue to favour shorter two- or five-year fixed rates, which accounted for 89% of new loans. Despite the introduction of European-style home loans by 12 banks, including Perenna and Kensington, the higher rates associated with long-term fixes deter buyers. Lewis Shaw from Shaw Financial Services noted: "Rates on long-term fixes are significantly higher than standard rates," leading many to avoid committing to lengthy terms. While politicians and economists advocate for longer-term loans as a solution to the housing affordability crisis, their higher costs and inflexibility remain significant barriers to adoption. 

The Times (21/10/2024)  

First-time buyers in London are set to face an average additional stamp duty bill of £6,250 from next spring, following Rachel Reeves's decision not to extend a previous discount. The tax-free threshold for homebuyers will revert to £125,000 from £250,000, and for first-time buyers, it will drop to £300,000 from £425,000. This change is expected to significantly impact new homeowners in London, where the average property price is £480,040. Overall, the changes will increase the average home purchase cost by £2,500 across the UK. 

The Times (21/10/2024)