The London Barometer November 2010

Sales: November 2010
"Less than 40% of the offers received in the last two months have converted into sales. This suggests there is a definite standoff between buyers and sellers who have differing opinions of where the market's going. Vendors aren't rushed and can afford to stay put; but buyers, who are out in their droves, perceive [mistakenly in our opinion in London] the market will weaken."

"As a result, a record number of vendors have unexpectedly withdrawn their properties from the market driving the cumulative number of properties available for sale down by 20% since October."

"Perhaps a 0.25% rise in interest rates might focus these sellers a little."

Lettings: November 2010
"With rental stock levels still at an all time low and rents breaking through peak levels, it's surprising we're not seeing more buy-to-let investors coming to the party. One explanation could be restricted finance, but most banks are lending again and yields are looking healthy. The trouble is lack of stock on the sales market, specifically bullet proof properties that tick all the boxes for would-be landlords."

"Also, landlords are less concerned about rental yields than they are about long term capital appreciation. We know of many landlords waiting in the wings waiting for the market to stabilise so they can buy in a rising market for the best capital growth."