1. ITV Report

Average London house price set to break half million barrier this year

The average London house price is set to break the half a million pound barrier this year Photo: REUTERS/Andrew Winning

London's average house price is set to break the half a million pound barrier this year, according to new research from the University of Oxford.

Oxford academics analysed the value of actual properties sold around the country in the last year.

They found that whilst property prices across England increased by £33.7 billion, a third of those sales were in London.

Most of the rise occurred in a very small part of the capital, with a third of the total increase spent on housing in just five boroughs:

  • Kensington & Chelsea
  • Westminster·
  • Wandsworth
  • Hammersmith & Fulham
  • Barnet
Left map shows actual physical space of England. Right map shows England redrawn in proportion to increase in value of housing. Credit: London Mapper

On average, houses in London sold for almost £40,000 more compared to the previous year. Those in central London sold for much more again. Mean average prices rose by:

  • More than £100,000 in Hammersmith & Fulham
  • Almost £140,000 in Kensington & Chelsea
  • More than £150,000 in Westminster
  • More than £190,000 in the City of London

Prices in London are rising much more quickly than in England as a whole. If this continues then London will breach the half million pound price barrier for the average home in 2014.

– Professor Danny Dorling, University of Oxford