Value of 1-bed properties in Prime London up GBP60,000 in a year
Tue 05 Nov 2013
The average value of one-bedroom properties in Prime London has risen by over 60,000 in the past year,
following a 14% annual growth, according to estate agent Marsh & Parsons' latest London Property Monitor.
The bulk of this increase was gained in the last three months, after a strong 6% quarterly rise increased the
average value of one-bedroom properties by an extra 29,140. This follows three strong quarters of growth in the
past year, contributing to a 14% annual growth - equivalent to 62,063 in a year.
The average price of a one-bedroom property in Prime London now stands at 502,139. In Prime Central London,
covering the most expensive areas of Chelsea, Kensington, Notting Hill, Holland Park and Pimlico, the average
value of a one-bedroom property has risen to 583,036 - a 9% increase in the last year, equivalent to 48,703 in
Peter Rollings, CEO of Marsh & Parsons, comments:
"With returns like these, it's no surprise that people are queuing up to buy Prime London property. Competition for
one-bedroom properties in particular is fierce. Spurred on by the rapidly improved availability of mortgages and
low interest rates, first-time buyers are flooding the market in competition for the best properties in this price
"In addition, one-bedroom properties generate the best rental yields, making them a popular purchase for
buy-to-let investors. We have noticed many young, would-be buyers adopting more European attitudes to renting,
with many choosing to become long-term renters, rather than saving up for a deposit. As a result, the value of
one-bedroom properties in Prime London is shooting up the scale."
One-bedroom properties have risen in value at a faster rate than properties of other sizes in Prime London. The
overall rate of growth in Prime London, reflecting all sizes of property combined, was 1.6% in the past quarter
and 10.3% in the past year.