East London sees house prices rise as residents look for cheaper, more convenient deals

The price of London’s property coming to market has decreased by 1.9 per cent this month, totalling just over £12k.

The drop comes in line with the average for this time of year, which has been 2.2 per cent since 2010. It is not surprising that capital is unpredictable in the summer especially when both buyers and sellers have holiday distractions.

The London market is definitely facing some headwinds, and this continues to be reflected in the annual rate increase of just 1.6 per cent.

Rightmove director and housing market analyst, Miles Shipside, commented: “Londoners value their summer breaks and when they are turning their thoughts to the beach, they seem to put off property.

“Sellers who come to market at this time of year have to price keenly to attract distracted buyers. In addition, sellers of higher value property often have the discretion to be able to delay marketing. Both of these factors help to reduce average asking prices for newly-marketed properties, but this can be an opportunity for buyers to find a deal.”

The price of newly-marketed property is fairly stagnant overall, with an average year-on-year rise of 1.6 per cent. It is the most easterly boroughs that tend to perform better in this current climate, with Hackney leading the way with an 8.9 per cent annual uplift (+£10,308).

Other notable Eastern risers are Redbridge (+7.7 per cent), Bexley (+5.7 per cent) and Greenwich (+5.7 per cent).

Although Hackney leads, Shipside notes that it isn’t the cheapest of boroughs: “With an average price of [just under] £690k, Hackney is not cheap.

“But perhaps for families looking for an inner London home it still offers value compared to properties in some of the much pricier boroughs equally close to the centre.

“It offers commuting convenience, and with the opening of Crossrail within the next year a host of other boroughs will have their journey times cut… In time, buyers are paying more for a quicker journey to work.”

The annual rate remains still at 0.9 per cent, with more costly £700k+ boroughs being the main drag on London’s year-on-year price performance.