Where to Look (and where not to look) for Value in the London Property Market

Updated: Nov 22, 2018

Ludgrove has undertaken an analysis of the relative value of each of London Borough compared to the London as a whole. Our study does not try to determine whether property prices in a particular Borough are cheap in absolute terms, rather whether they under or over-valued compared to where they have historically traded versus London. By way of an example, the Borough of Islington has historically traded at a +36% premium to London property prices on average since 1995 and is currently trading at a +48% premium, and is therefore over-valued by +12% compared to its historic average. The results are summarised below:



The study throws up some interesting observations namely:

  • Kensington & Chelsea is significantly undervalued trading at a 32% discount to its historic average.

  • The three most undervalued Boroughs are amongst London’s highest capital value areas namely Kensington & Chelsea (average price £1.15m), Hammersmith & Fulham (£744k) and Richmond (£643k).

  • Two boroughs stand out as being over-valued as well as having high capital values - Islington (£704k) and Camden (£882k).

  • The boroughs of Harrow (£457k), Bromley (£438k) and Hounslow (£409k) offer the best mix of being undervalued and offering low capital values, being priced below the average London House Price (£478k)

For completeness, the table below details each Borough ranked by Average Property Price:

If you'd like to find out more about where to find value in the London property market, feel free to get in touch with Ludgrove. We can save you time and money on your property search.


Fraser Slater

Ludgrove Property

43 Berkeley Square

Mayfair

London W1J 5AP

Tel: 0207 889 2860

Email: info@ludgroveproperty.com

Web: www.ludgroveproperty.com


Disclaimer: Ludgrove Property Limited is not authorised or regulated by the Financial Conduct Authority (FCA) and we do not provide any financial or investment advice.  We recommend that any property investor seeks appropriate professional advice before entering into any contract, and we would also advise that the value of any investment can go down as well as up and that you might not get back what you put in. You may have difficulty selling a property investment at a reasonable price and in some circumstances it might be difficult to sell at any price. We would urge you not to invest unless you have carefully thought about whether you can afford it and whether it is right for you, and if necessary to consult with a professional advisor in accordance with the Financial Services and Markets Act 2000. All information is provided strictly as a guide only, is subject to change without prior notice and does not constitute an offer of investment. This website should not be regarded as an offer or solicitation to conduct investment business, as defined by the Financial Services and Markets Act 2000. Investors who are resident in or citizens of countries other than the United Kingdom may be subject to local restrictions. In particular, no offer or invitation is made to any US persons (being residents of the United States of America or partnerships or corporations organised under the laws of the United States of America or any state, territory or possession thereof), who are excluded from the services offered in this site. The information on this website has been obtained from sources which we believe to be reliable and accurate, but without further investigation this cannot be warranted.

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