According to figures released by ONS the capital has recorded the highest annual house price growth ever..
Official figures released by the Office for National Statistics (ONS) for November 2020 show that the average price for a property in London remain the most expensive of any region in the UK at an average of £514,000. This is a record high and the first time London’s average house prices have surpassed £500,000.
The house price growth followed a sharp upward trend seen in most regions across the UK, reflecting a range of factors including pent-up demand, changes in housing preferences and the temporary reduction in property transaction taxes, which are due to end on 31 March 2021.
Figures show that across the UK the average house prices increased by 7.6% in the year to November 2020, up from 5.9% in the year to October 2020, standing at a record high of £250,000, this is the highest annual growth rate the UK has seen since June 2016. There was also an increase in the average price of properties in Wales up 7.0% with the average house price standing at £180,000 in Scotland up 8.6% with the average house prices now standing at £166,000 while Northern Ireland only grew slightly up just 2.4% with the average house price rising to £143,000.
Looking at the picture within London, house prices have grown more quickly in Inner London than Outer London for some time. In November 2020, two London boroughs had annual house price growth above 20%, one is in Inner London (Kensington and Chelsea, at 28.6%), while the Outer London borough of Brent had annual price growth of 23.9%. The annual growth rate in Brent is partly caused by a base effect as the average house price decreased by 11.9% between October and November 2019 and increased by 2.8% between October and November 2020.