Whilst our latest property price tracking data does suggest that prices in plenty of London boroughs are continuing to rise (Source: Land Registry), with some areas very 'hot', there are some more up to date indices which show that London house prices might have peaked. However, buyers and sellers take note - this does not necessarily mean that prices are going to come crashing down!
London boroughs potentially overheating
Waltham Forest and Lambeth
Currently, Waltham Forest and Lambeth are encountering staggering year on year growth of 26% and 25% respectively. This suggests these areas are overheating and buyers need to be extremely cautious not to overpay for a property.
Hackney and Southwark
The annual average growth for Southwark and Hackney is around 23% and 22% respectively, which also indicates that these areas are possibly overheating. However in Hackney, the monthly growth is still showing signs of slowing from the end of 2013 and early 2014.
Islington, Ealing, Wandsworth and Lewisham
All of these areas are performing brilliantly, with year on year growth standing between 19% and 20%, but are not yet in house price 'bubble' territory. Read my articles:-
Areas in London with the highest price rises since 2007/8
In 2007/8, house prices were at their highest ever in most London boroughs. After which we had the credit crunch, and even in the powerful London property market, prices plummeted by 14 to 22%.
The following areas have not only recovered to their 2007/8 heights, but have experienced astonishing growth:-
Are there any bargain areas in London?
Like lots of areas nationwide, there are certain London boroughs that have not benefitted from double digit growth and have either not recovered to their 2007/08 height and are still less than they were SIX years ago or have only recently exceeded this level. These areas are:-
If you are finding it a challenge to purchase a property in your favoured location in London, it's always worth checking out neighbouring areas or those that are up and coming, to see if they are more within your budget. Take a look at how all the Boroughs are performing:-
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