Fancy living in a prime London neighbourhood? Now could be your chance! Prices in posh parts of London are dropping, with sellers slashing asking prices to tempt buyers.

Hold onto your hats, because house prices in places like Mayfair and Kensington have actually gone down compared to last year. According to property experts LonRes, prices in May were 2.8% lower than a year ago. That might not sound like much, but in the world of million-pound houses, it’s a big deal!

And it’s not just a few houses here and there. The number of posh pads being sold has also tumbled, with 14.8% fewer sales this May compared to last May. In fact, it’s been the quietest May for London’s luxury property market since 2017.

But here’s the good news for bargain hunters – there are more houses up for grabs! The number of properties going on the market jumped by 12.1% compared to last year. This means sellers are more likely to be open to offers.

Where are the biggest discounts?

It’s a buyers’ market in South Kensington, where a whopping 60% of houses sold in May had their prices slashed before finding a buyer. In Mayfair and St James’s, a still-significant 37% of homes sold for less than the original asking price.

So what’s behind this mini-slump in the luxury property market? Nick Gregori, a top researcher at LonRes, reckons it’s partly down to the upcoming election making people a bit nervous. But he also points the finger at the economy, with rising interest rates making mortgages more expensive.

What does this mean for you?

If you’ve been dreaming of owning a slice of London luxury, now could be the time to make your move. With prices dipping and more properties on the market, you might just be able to bag yourself a bargain. Just be prepared to haggle – remember, those sellers are more open to offers than usual!