Diary of an Agent: Alex Philo and Simon Biddulph

Alex Philo (pictured left) is head of sales in Wimbledon, while Simon Biddulph (pictured right) specialises in the country market around Tunbridge Wells.

How has the property market performed in 2020?

Simon Biddulph (SB) – I’ve been with Knight Frank for more than 13 years and I’ve never seen anything like it. It’s been a record year following a period of uncertainty due to Brexit and then last year’s general election. The first lockdown interrupted what would have been a strong spring market this year, and pressure built with buyers and sellers desperate to act. When the market reopened in May it felt like we’d been hit by a sledgehammer.

Alex Philo (AP) - That market has been pretty good. Buyers have typically been motivated local upsizers, or people coming out of central London seeking more space. The lack of supply initially was palpable but as 2020 progressed the message got out to sellers that deals were happening at robust prices and we saw an increasing number of downsizers take advantage of this.

What’s in demand and who’s buying?

SB - We always get a steady flow of buyers from London from areas such as Wandsworth and Dulwich. There’s a lot of interest in Georgian and Victorian homes with high ceilings, and their double-fronted symmetrical designs and grand entrances but supply is limited. However, selling low-ceilinged farmhouses, the sort with lots of exposed beams, is trickier as there’s a lot of supply.

AP - I’ve had buyers trading a large flat in Chelsea for a six-bedroom house on a quiet road in Wimbledon. There’s equally a very strong flat market within the town, which attracts people moving to get more for their money. The last two viewings I handled were couples that couldn’t afford a two-bedroom garden flat in Clapham so where looking in Wimbledon.

And what’s moving slower in the London market?

AP – Properties with a lack of outdoor space have been a challenge in the current environment. The higher-value end of the market, which relies on downsizers, has been tricky too. Older people have stayed put in the face of Covid and they are traditionally the buyers for large apartments in modern blocks.

What’s happening to prices in the country market?

SB - Buyers are remaining grounded. Sellers know they have a window of opportunity at present, so my role has been about advising vendors to create a competitive environment with sensible pricing that attracts interest. Buyers do want to get on with things, but they remain nervous.

The conveyancing system is under strain due to the high transaction volume, what’s been your experience?

SB – Searches aren’t too bad, but solicitors are really struggling to cope with the volume of work. I’ve spent more time chasing them during this period than I normally do. My advice to clients is to instruct their solicitor at the same point they instruct us.

Given the situation, has the stamp duty holiday been worthwhile?

SB – I think it’s worked brilliantly and sparked life into the property market. Normally in the country we’d say we know the bulk of the buyers above a certain price point, but this year we’ve seen many new faces, and I think the holiday has played a part in encouraging people to get on with things.

AP - The stamp duty holiday sometimes gets dismissed but it’s still up to a £15,000 saving. While it’s not been a decisive factor in higher-value transactions it’s been a big driver in the first-time buyers’ market.

Will the escape to the country trend endure in 2021?

SB – Working from home will stick for certain professions, likely using a hybrid or blended model, but it won’t be the wholesale change that some have suggested. Nevertheless, it’s a great base to build upon in the country market. The prospect of many people no longer commuting into the office every day has opened up areas of the country that simply wouldn’t have been considered by commuters before.

AP – London will continue to recover as people still want the intimacy and atmosphere of working in an office. The current environment has allowed people to be more dynamic, but the younger generation leaving university will still be drawn to living and working in London. What I feel will endure is the draw of London’s suburban markets, which offer more space and greenery for those that want it than central London.