What's hot and what's not: House price league table shows Wandsworth up 16% but Westminster down 25%

Click to follow
Indy Lifestyle Online
London house prices are 2 per cent higher than a year ago, according to the London Research Centre. Its figures show signs that the market is starting to break out of its static position.

This time last year, property prices in four London boroughs showed a increase, this year prices in 19 boroughs have gone up. The LRC said the figures 'suggest that more new purchasers are being attracted into the housing market in London.'

Kensington and Chelsea remains the most expensive borough, with an average price of pounds 178,200. This confirms the view of estate agents that the prices of 'top quality' home are being fuelled by a general shortage. Many buyers are from overseas, particularly Asia and Hong Kong.

Second is Camden, which includes the expensive Hampstead area, with an average price of pounds 124,800. London's cheapest borough is Barking and Dagenham - pounds 50,900.

The figures show a big difference between boroughs, which may have been exaggerated by the comparatively small size of some of the samples.

In Westminster, the worst-affected borough, prices dropped by 25 per cent, whereas Wandsworth enjoyed the biggest increase - 16 per cent.

There was a 3 per cent fall in average price of properties bought by first-time buyers compared with last year.

The LRC calculate that a single first time buyer would need to be earning at least pounds 13,000 a year to buy in Newham; between pounds 14,000 and pounds 15,000 would be sufficient to get on to the ladder in Barking and Dagenham, Croydon, Enfield, Haringey, Harrow, Lewisham and Waltham Forest.

Higher earnings would be needed for Kensington and Chelsea (pounds 35,300) Camden (pounds 27,300) Hammersmith and Fulham (pounds 26,700) and Islington (pounds 24,800).

Despite the increases, prices still remain 20 per cent below those at the peak of the boom in 1988. LRC estimates that nearly 100,000 households have negative equity. A spokesman said: 'We found that most of today's mortgage defaulters have been behind with their payments for a long time. Most have multiple debts.'

He said struggling with arrears took a lot out of people physically and mentally.

A recent survey by Barclays Bank predicted that house prices nationwide would rise 10 per cent although London may not perform as well.

----------------------------------------------------------------- Average prices borough by borough ----------------------------------------------------------------- 1st quarter 1994 All Dwellings First Time Buyers Average Quarterly Annual Average Quarterly Annual Price Change Change Price Change Change (pounds) (%) (%) (pounds) (%) (%) Barking & Dagenham 50,900 -3 -13 48,700 0 0 Barnet 87,500 -3 -1 69,800 5 -12 Bexley 65,000 4 4 53,800 0 5 Brent 69,000 0 -3 60,700 -6 0 Bromley 90,300 -1 7 66,900 4 -11 Camden 124,800 10 4 87,100 10 0 Croydon 68,300 6 -1 53,000 4 4 Ealing 88,500 0 3 71,700 4 7 Enfield 70,600 -3 4 60,200 4 6 Greenwich 72,400 -2 1 57,900 3 0 Hackney 77,000 -2 1 62,700 -3 0 Hammersmith & Fulham 116,300 -2 5 86,900 12 -12 Haringey 71,900 -11 1 56,900 -4 -13 Harrow 81,400 -5 -5 67,100 3 0 Havering 69,900 1 -1 54,700 -7 -1 Hillingdon 81,700 2 -1 58,300 -1 -1 Hounslow 75,900 -17 -10 62,300 0 -16 Islington 104,900 10 7 84,000 12 0 Kensington & Chelsea 178,200 -1 3 113,100 -4 0 Kingston 81,500 -2 -1 69,000 3 1 Lambeth 78,700 0 0 63,200 9 7 Lewisham 66,500 -1 4 56,400 6 7 Merton 86,100 1 0 66,600 0 1 Newham 51,100 5 8 46,200 -1 5 Redbridge 73,500 -1 9 60,700 1 5 Richmond 114,700 3 12 83,900 1 -4 Southwark 88,700 19 13 64,800 10 3 Sutton 71,900 -4 -4 58,100 8 -2 Tower Hamlets 78,900 17 23 64,400 5 0 Waltham Forest 60,600 2 1 51,300 -4 -2 Wandsworth 100,900 6 16 72,600 0 -3 West- minster 120,500 -11 -25 87,600 -5 0 The figures are based on all mortgage approvals made by the Halifax Building Society, excluding those below market value. ----------------------------------------------------------------- Average prices shown are arithmetical means. Source: London Research Centre -----------------------------------------------------------------

(Photograph omitted)

Comments