Parental-led purchases have always formed a significant part of the prime London market. But right now, the logic behind them feels more persuasive than ever – and in some cases, more urgent. The fundamentals are as strong as they have always been, while the context around them has shifted in ways that genuinely favour buyers who are ready to move, write our Partner James Burridge.
Why the Case Remains Strong
Around 20% of my active requirements at any one time come from clients buying property for their children. That proportion has remained consistent, and the reasons families pursue these purchases are essentially the same as they always were: a desire to provide security, a long-term view on wealth, and a recognition that London property – the right London property – is a reliable store of value.
What has changed is the environment in which these transactions are taking place. We are in a period of genuine uncertainty. Politically and economically, there is a great deal of noise. And when the world feels uncertain, good bricks and mortar in a good location feels like a safe place to park significant capital, particularly over the long term.
A More Motivated Market
Another notable shift in the current market is the behaviour of sellers. Some properties have been on the market for a year or more, and many sellers have missed opportunities as a result. A family in Wandsworth wanting to move to the country, for instance, may have found that they couldn’t sell their London house quickly enough to secure the property they wanted elsewhere. That creates real pressure to transact.
For our clients – predominantly cash buyers who can move without a chain and without debt – this is a powerful position to be in. When the majority of competing buyers are in their mid-twenties to mid-thirties, first-time buyers, relying on mortgage offers, the ability to offer flexibility and certainty is a real advantage. We can negotiate on price, offer quick completions, or in some cases even allow a short leaseback period. In a market where sellers are more focused than they have been in years, buyers with firepower can find that the market rewards them.
That said, I wouldn’t suggest there are runaway capital gains to be had in the near term. The appeal here is not a quick uplift. It is quality, liquidity and location – and knowing that good property in the right part of London will always let well in the interim and serve the next generation well when the time comes.
Budget, Locations and the Long Game
I consistently tend to see families searching for properties within the £2 to £5 million price range. What continues to evolve is the conversation around which areas offer the best value at that price point.
I am currently helping a family buy the second of four properties in London, each for a different child. The choice of area is largely driven by the children themselves, not the parents. One wanted to be near where they grew up, another had a strong desire to live in a more central location. That is fairly typical.
It is a conversation I have regularly with parents: the relative value of one pocket versus another. Three million pounds in Fulham looks very different to three million pounds in Notting Hill. In Fulham, you are more likely to get a proper house with a garden. In Notting Hill, you are paying a premium for the postcode. The young person moving in rarely sees it that way, of course. They want to be in the thick of it. But in ten years, when they have children and need more space, the one who took the house in Fulham will be grateful they did not have to pay stamp duty twice.
Transport links also continue to be a significant factor in these searches. For young people in their twenties, connectivity matters enormously, and parents are increasingly attuned to that.
Why Freeholds Make Sense
The preference for freehold houses over leasehold flats has, if anything, become more pronounced in recent times. There are no service charges, no building management committees to deal with, no unexpected bills for lift repairs or communal area renovations. It is a cleaner investment in every sense.
That said, we have bought individual freehold houses for multiple children before, with both living in the property together. In one case, the elder sibling lives there with a friend, and the younger one collects rent from that friend until they are ready to move in. It is a practical arrangement, and it works when the family dynamic supports it.
Inheritance Tax Planning
Inheritance tax planning is increasingly in the background of these conversations – and in many cases it has moved firmly to the foreground. Putting a property in a child’s name removes that capital from the parent’s estate. For families with significant assets, that is a meaningful consideration.
The awareness that a £2 or £3 million property purchase can serve simultaneously as a home for their child, a rental investment, and an estate planning tool is something that sophisticated buyers are carrying into these conversations.
The Journey Takes Time
One point worth emphasising, and something I stress to every client at the outset: finding the right property takes time. The volume of genuinely good stock is smaller than it once was because fewer people are choosing to move. That means the search for a house in Fulham, for example, is not a three-month exercise. From initial brief to taking keys, twelve months is a more realistic expectation.
If parents are serious about this, the time to start the conversation is now – not when their child is six months from finishing university.
The Enduring Appeal
The emotional dimension of these purchases is as present as it always was. Parents want to know that their children are safe, that they are not renting from a landlord they have never met, and that there is some family oversight of where and how they are living. That instinct has not shifted.
Nor has the satisfaction of seeing it through. There is something particularly rewarding about returning to a property we bought for a teenager, years later, and finding them settled in a home they have made their own. When a family comes back to us for the next child, and the one after that, it says everything about the trust that this kind of work builds. It is genuinely rewarding.
As I said at the outset, the fundamentals have not changed in recent years. If anything, the combination of motivated sellers, experienced buyers with liquidity, and the enduring quality of prime London property makes the case for buying for your children stronger today than it has been for some time.
James Burridge is our Partner and Prime Central London and South West London specialist
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