it's a mixed picture for prime London property prices in November, but prime country prices fall for the second month in succession.

After three successive months of price reductions across the prime London property sector, one could be forgiven for expecting further falls in November. However, average prices in prime London achieved a marginal monthly increase of 0.4%. While the majority of London regions saw a drop in prices in November, the statistical dominance of high-value property in the 'golden postcodes' has helped keep the overall capital in positive average price growth. The over-riding picture remains subdued in November. Indeed, the picture has changed markedly, with the volume of property currently on the market some 68% higher than the historical lows witnessed in November 2006. Agents are reportedly struggling to sell property as stock builds up, with some agents claiming a drop in buyer demand of some 30% over the last month as buyers remain reticent to transact.

Meanwhile, after a strong period of price growth throughout the summer, prime country property prices have started to slip into reverse, down 0.4% in November, and falling for the second month in succession. A contributory factor is the sheer volume of property for sale currently on the market, which in November is some 44.9% higher than the same period last year. Agents continue to report properties being on the market for much longer than average, while sellers hurry to get their properties to market before any significant price drops occur, causing property stock to accumulate to record levels.

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