Sales market: steady demand, selective buyers
Buyer demand across NW4 and the wider Barnet borough has held up well into spring 2026. We are seeing strong interest in properties priced realistically - well-presented homes with accurate valuations are moving within four to six weeks. Properties priced aspirationally are sitting longer, often requiring a reduction.
Three-bedroom houses in the £450,000-£550,000 range remain the most competitive bracket, often attracting multiple viewings in the first week. First-time buyers are particularly active, supported by the extended Mortgage Guarantee Scheme.
Interest rates and affordability
The Bank of England base rate has been on a gradual downward trajectory since late 2024, and this has meaningfully improved buyer affordability. Five-year fixed mortgage rates from major lenders are now broadly available in the 4.0-4.5% range for buyers with a 10-15% deposit.
This shift has re-opened the market for many buyers who were priced out during the higher-rate period of 2023-2024, and we expect activity to continue building through the summer months.
Lettings market: strong rents, slightly longer void periods
The rental market in North London remains undersupplied relative to demand. Average asking rents across NW4 and NW11 have increased approximately 6-8% year-on-year, driven by a continued shortage of quality rental stock.
We are seeing studios and one-bedroom flats let very quickly - often within days of listing. Larger family homes are taking slightly longer but the pool of applicants remains healthy. Landlords who maintain their properties well and price competitively are achieving excellent results.
HMO investment: still strong fundamentals
For investors considering Houses in Multiple Occupation in the North London boroughs, the fundamentals remain compelling. Article 4 directions across much of Barnet mean the supply of compliant HMOs is constrained, while demand from working professionals and students continues to grow.
Gross yields in the 7-9% range are still achievable for well-located HMOs managed correctly. The regulatory burden has increased - but this has deterred poorly managed stock, which ultimately benefits professional operators.
Our outlook
We expect North London to remain a resilient market through the rest of 2026. The combination of improving mortgage affordability, sustained rental demand, and the area's perennial appeal to families and professionals gives us confidence in the near-term outlook.
If you are thinking of selling, letting, or reviewing your investment strategy, now is a good time to get a professional valuation. Contact our team to arrange a no-obligation appraisal of your property.
Have questions? We're here to help.
Our team has decades of experience in the North London property market. If anything in this article raises questions about your own situation, give us a call or drop us a message.