There are likely to be three distinct phases to the current Coronavirus (COVID-19) situation in terms of how it affects the Prime London residential property market say Beauchamp Estates, with each phase in the cycle having an impact on household and consumer behaviour, spending priorities and the property market.

Beauchamp Estates say that the first phase in the cycle, lasting a few months, is likely to revolve around a quarantined London with business opportunities focused around virtual viewings, remote liaison and people making reservations on properties, especially new build or unoccupied homes. During this phase luxury rentals are also going to be in strong demand particularly as most London hotels have closed down.

The second phase in the cycle, lasting some months, will be when people have taken a virus-antibody test and, if some level of immunity is proven, are able to return to things such as office work. This phased return to work, which China is now starting, will help assist the economy and property market, even if bars, restaurants and clubs remain closed. The third phase is a lifting of quarantine measures and a gradual return to business activities.

Beauchamp Estates forecast that this third phase in the cycle could happen between October 2020 and March 2021 with the London economy and property market anticipated to have a “mini-boom” similar to that which occurred post-Brexit when the capital had over £750 million worth of deals for properties priced above £5 million in just a few weeks as pent-up demand was released and buyers purchased properties they had coveted during the Brexit stagnation period.