It’s many renters' dream to get on the property ladder in the Capital. Especially with Help to Buy ending in October, first-time buyers (and everyone else) will have their eye on cheaper property for sale in London, so let’s look at some of the best areas to find it.
Which areas north of the river have the lowest average sales price? How about south of the river? Here is your 2022 mid-year update on where property is cheapest to buy in London.
Note: the boroughs that typically make this list are on the furthest ends of Zone 6, which may not help those looking for the London experience (or London commute). To give you more options around the Capital, we omitted a few of the furthest boroughs: Bexley (avg. £396,992), Havering (avg. 422,527), Hillingdon (avg. £455,347) and Redbridge (avg. 472,102), which would have otherwise made the list. Check the local property market, or contact your nearest local branch if want to learn more about buying a home in London.
*Average sales price by borough, using the UK House Price Index for May 2022.
North of the Thames
5. Tower Hamlets – avg. £475,397
In another article, we reviewed a study that said Tower Hamlets' "relatively central location, the average weekly earnings of a resident, the abundance of amenities and access to transport links all, according to the study, make it a more attractive buying proposition than elsewhere in the Capital." Price alone doesn't make this the cheapest on the list, but there's good reason to look in Canary Wharf, Benthal Green, Poplar, Bow and other Tower Hamlets areas.
4. Enfield – avg. £451,073
Up in North London, Enfield is a big borough with a small-town feel. That atmosphere, along with its good schools and stock of period terraced housing, draws in many families. It has plenty of nature and history, and good service on the Piccadilly line. Edmonton may have a bit of a reputation, but it's under a major regeneration project in the works, bringing new homes and jobs.
3. Hounslow – avg. £446,033
This borough is probably best known for the airport, and it is a great base for the international traveller. It’s also great for house hunters because you can often get decent square footage for the asking price. That may be why Hounslow Town Centre and Feltham are rising in popularity for young professionals and families, as well as bustling community spaces and useful transport links. Areas like Isleworth, Chiswick and Osterley have a suburban, village feel with good food and views of the ambling river.
2. Newham – avg. £409,413
The Olympics, the redevelopment of the Docklands and the new Elizabeth line have all played a part in the growing interest and investment into Newham. This investment attracts exciting new businesses and a young, multicultural community. There’s a huge range of housing options, plenty of new builds in the Olympic Village, Victorian conversions, freehold houses and ex-council flats.
Keep an eye on the parts of the Newham property market you're interested in, like: Forest Gate, Stratford or Plaistow. You can also get in contact with your Foxtons Newham estate agents, in our Stratford office, or wherever's most convenient to you - they're all interconnected!
1. Barking and Dagenham – avg. £344,899
This area’s young, motivated, multicultural community is blossoming before our eyes. There are big plans being laid out for regeneration and big early successes – the council launched a greener energy company, the Elizabeth line has begun running through Chadwell Heath, a new overground station has opened and Barking Riverside is one of 10 sites across the country that’s been selected for the NHS Healthy New Town Project for healthy development.
South of the Thames
5. Bromley – avg. £498,721
Bromley is the largest of London’s boroughs, with room for sprawling green spaces and sizable homes. Bromley shares glorious Kent Downs with neighbouring Kent. This borough is also beloved for its good schools, historical Market Square and friendly café culture. We’ve recently discussed its merit in another article, 7 areas with easy commutes into central London.
Photo by: Foxtons team
4. Lewisham – avg. £452,678
Not only is Lewisham a great place to buy a home, it's also great for buying goods and services. There’s a big shopping centre, an open-air street market and plenty of independent shops on the high streets. Developers have singled out Lewisham for its excellent transport links, so there’s a growing stock of homes, some beautifully renovated Victorian and Edwardian terraced houses and regeneration through neighbourhoods like Catford, Deptford and New Cross.
3. Sutton – avg. £427,275
If you’re looking to buy your first family home, Sutton is a brilliant option. This area is perfect for families – lots of green spaces, exceptional schools, a long high street for shopping and plenty of other families in the area.
Photo: YY64 TXE (Route S3) at Beeches Avenue, Carshalton Beeches by Matt Davis | CC BY | Flickr
2. Greenwich – avg. £419,437
Greenwich is frequently praised for its intellectual village feel. Great for pet-friendly establishments, history- and culture-packed days out, quirky restaurants and bars, green spaces to relax in and transportation links.
1. Croydon – avg. £419,335
Croydon has had a large spotlight on it lately, particularly from developers. There has been great progress on its regeneration plan, and people are realising just how useful Croydon's transportation links are. A train journey from East Croydon Station to Victoria or South Croydon to London Bridge takes less than 20 minutes. Read our article, The affordable, peaceful suburb only 17 minutes from central London, for more information.
All that being said, there are two things you should do if you want to buy cheaper property in London:
- First, be sure you've registered your interest with an estate agent. If you jump the queue by creating a My Foxtons account, our negotiators can inform you when the property you're looking for comes on the market – sometimes even before it's published on property sites.
- Second, prepare yourself as a buyer, as we describe in our blog on Making an offer. Vendors prefer prepared buyers, so this will help you make a successful offer when you find the right home. We suggest you start by getting a mortgage agreed in principle (MIP), which will tell you how much you can afford. This will help with your search. Our partner, Alexander Hall, can organise this for you. They operate across all lenders to deliver the widest range of mortgage options for you. They also help with preparing documents, completing the application and liaising with lenders to support you through the process.