London house prices: what you need to know
How much should I expect to pay?
The average London house price recently hit an all-time high of £525,000, with the average price for first-time buyers currently standing at £412,000. At one end of the scale are the multi-million pound houses and apartments that are being built for the super-rich. But prices are high even at the lower end of the market, and differ greatly between areas. A two-bedroom pad in Kensington could set you back £1.5 million. In Camden, you’re likely to pay around £800,000. Head east to Hackney and the price drops to around £600,000. But down south in Brixton, it’s a (slightly) more reasonable £500,000. And if you’re prepared to live further out, you can buy a two-bed place in South Norwood or Forest Gate for as little as £280,000. So the short answer, really, is that it all depends on where you’re willing to live.
How much is my property likely to increase in value?
Exact figures are obviously hard to predict and vary depending on which ‘expert’ you speak to. But in general terms, the value of property in London is expected to continue increasing by a significant amount each year for the foreseeable future. Some industry bigwigs suggest that this unprecedented period of growth will continue until at least 2025, with the capital’s average house price reaching £1 million within 15 years. But that’s not to suggest the increases will be as dramatic as we’ve seen over the last few years. Prices are still going up but rates of growth have slowed (they’re c