Foxtons has reported a loss for the first half of 2018 as London’s real estate market continues to stagnate.
The company posted a loss of £2.5m after making £3.8m in profit in H1 2017. Meanwhile, group revenue fell by 9% to £53m.
Foxtons chief executive Nic Budden said the property sales market in London was “undergoing a sustained period of very low activity”, and sales were taking longer to complete.
The loss was also driven by additional planned investments in people, brand and technology.
However, Budden said the lettings market had helped to offset some of the weakness in housing sales: “After a slow start to the year, performance in our lettings business improved throughout the period delivering another consistent result for the first six months.”
He added: “Looking ahead, availability of mortgage finance, absorption of stamp duty costs, and the return of confidence to the market will, amongst other factors, determine the timing and rate of increased activity levels.”
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