By Ian Cater

A leading money expert has advised people trying to sell property in London and the South-East to “be realistic”.

Simon Lambert, Editor of This Is Money, said in this exclusive interview: “You can’t expect to get the same amount for your property that you were going to get maybe a year ago, so price realistically.”

His comments follow new figures showing a significant drop in the capital’s house prices since this time last year.  Data from the Office for National Statistics (ONS) showed prices in London averaged 4.4 per cent lower in May than at the same stage in 2018.

This is the biggest fall since August 2009 when the banking crisis fallout was found to have taken 7 per cent off London property prices.

Most experts link this latest drop – and the state of the depressed South-East market where prices have risen only marginally – to uncertainty over Brexit and often eye-wateringly high prices in the capital.  The ONS puts the average London property value at £457,000.

Lambert explained that the inflated market continued to make it difficult for people to get onto the property ladder.  He said many were still struggling “to raise the tens of thousands – maybe even hundreds of thousands – of pounds they need for a deposit, whether that’s to buy their first home or move up the ladder.”

Although he said it is difficult to predict when the situation might change, Lambert offered some signs of hope.  “Banks are very keen to lend at the moment, so mortgage rates are low.  And also there’s talk of a stamp duty cut if Boris Johnson becomes Prime Minister, which might chivvy things along a bit.”

As well as pricing realistically, Lambert advised sellers to spruce up their homes to impress potential buyers.  And he reminded people that if they can find a buyer, they would be in a good situation themselves when looking to purchase another property.

“It might be tough to sell at the moment,” he said, “but it’s a better time to buy.  Better to buy when other people don’t want to than when they’re queuing round the block.”

To see our full interview with Simon Lambert, click here.