Houses priced at less than £300k could become extinct in London as number of cheap wards in capital plummets
The number of wards where prices averaged below the figure dropped from 104 to just 40 last year
HOUSES priced at less than £300,000 are an “endangered species” in the capital, a property expert has claimed.
The number of wards where prices averaged below the figure plummeted from 104 to just 40 last year, with most of them in the fringes of east and south London.
Estate agency Savills has compiled analysis which has shown there were more areas with a price average of over £1 million than there were with under £300,000.
The barrier is seen as significant as it represents the outer limit of affordability for a typical London household who have a joint income of around £50,000 and a 25 per cent deposit.
Lucian Cook, director of residential research at Savills, said: “The scale and spread of house price growth over the past five years means the £300,000 neighbourhood, though not extinct, has certainly become an endangered species in London.
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“It is symptomatic of the housing affordability issues in the capital.”
Just five years ago, almost half of London’s 649 wards had an average price below £300,000.
The cheapest ward is Thames in Barking and Dagenham, at an average £228,386 last year, and the most expensive is Knightsbridge and Belgravia in Westminster, with an average of £4,282,287.