Multi-million pound London home price slashed

Posted: 01 Dec 2008 11:21:11 GMT

Forty per cent has been wiped off the value of a four-storey town house in London's St John's Wood, it has been reported.

Having originally entered the market in December 2007 at £2.8 million, the property was revalued at £2.25 million in October this year, before this month being reduced to just £1.6 million - a little over half the original asking price.

Only this week it was also reported that homeowners who lowered their asking price in the past fortnight did so by £17,000, suggesting desperation among sellers.

Daniel Lee, director of Globrix, which carried out the research, told the Daily Telegraph: "Buyers are now in complete control and sellers are finally understanding that if they want to sell in this market then they may have to accept an offer they wouldn't have even considered six months ago."

Many sellers are dropping prices to entice buyers stifled by high estate agents' fees, and as such could look into selling a property online in order to save money and widen the audience for a property.

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