What are the five best places to buy a house in London in 2023?

What are the five best places to buy a house in London in 2023?
House prices in Camden, near Regent's Park and Regent's Canal, have seen three percent growth in one year (Daniel Lynch)

House prices in Camden, near Regent’s Park and Regent’s Canal, have seen three percent growth in one year (Daniel Lynch)

The OBR has said that house prices will fall 9 percent over the next two years as mortgage interest rates rise.

But house prices never behave evenly across the country, with various factors at play influencing how desirable regions, and, on a more granular level, neighborhoods, remain in troubled times.

Even when the property market is booming, it’s not booming equally in all areas – look at the churn of central London during the pandemic, which is generally considered a completely safe bet.

richmond

Median home price: £1,149,660

Ten-Year Price Growth: Sixty-five%

Source: Hamptons

With its proximity to a full of deer park and one of the leafiest stretches of the River Thames, Richmond was voted last year the happiest part of the capital.

Marcus Dixon, director of research for property specialist JLL, says home prices in the area, where celebrity residents include Sir David Attenborough and Mick Jagger, Brad Pitt and Angelina Jolie, will hold up better than elsewhere for recession for two main reasons. .

First, more than half of owner-occupied homes are owned outright, which means Richmond is less vulnerable to rising interest rates than areas that rely on mortgages.

Second, the prevalence of larger houses makes the area attractive for sprawling households. “Whatever the state of the economy, families grow and requirements change,” he explains.

Home prices in the area have risen 14 percent in the past year, according to Hamptons.

camden

Median home price: £1,173,210

Ten-Year Price Growth: 51%

Source: Hamptons

In addition to its eclectic shops and bars, Camden has a strong claim as a place to weather the next recession. Mortgage lender Proportunity analyzed the data and identified the north London neighborhood, where house prices have fallen 3 per cent in a year but risen 8 per cent since 2017, as a candidate to maintain its property values.

“Areas with larger, older houses generally tend to do well in more difficult times,” says Proportunity research lead Sree Balan.

He adds that Camden is close to natural spaces such as Regent’s Park and Regent’s Canal and has strong tube, tube and bus links to central London.

The area’s locks and markets, as well as its rich musical history, mean that still a tourist hotspotadding another feather to his cap in troubled times.

white chapel

Median home price: £576,790

Ten-Year Price Growth: 78%

Source: Hamptons

With very high levels of social housing, the East London district of Tower Hamlets is a wild card for a recession-proof purchase.

“Areas with many homeowners who rely on mortgages, such as Wandsworth, are much more exposed to a recession than those with high levels of affordable housing,” says Bartlett Real Estate Institute President Yolande Barnes.

In fact, house prices in the Tower Hamlets district have shot up 10.3 per cent this year to an average of £486,564, according to the latest figures from the Land Register. The district is also Recognized for Choice of Educationwith 91 per cent of children gaining a place at a preferred secondary school in 2022. If you’re looking for a recession-proof haven, Whitechapel is a modern gem with an eponymous art gallery and a shiny new Elizabeth Line station carry on. residents to the city and the West End in minutes.

Year-over-year price growth in Whitechapel (E1) is two percent, according to Hamptons.

gentlemen’s bridge

Median home price: £3,539,540

Ten-Year Price Growth: 6%

Source: Hamptons

With the likes of Harvey Nichols and Harrods lining its moneyed boulevards, Knightsbridge is unlikely to fear the cost-of-living crisis.

In fact, a rush of interest was seen in a £210m mega-mansion in the district after the disastrous mini-budget recently, due to the fall of the pound. Foreign buyers favored.

You’ll need a lot of money to take advantage – although Knightsbridge’s median house price is down one per cent in the last year – it’s still sitting at £3.5m according to Hamptons – but the signs are clear.

“Quality always sells,” says property expert and House Buy Fast founder Jonathan Rolande. “The looming financial recession, like many others before it, seems destined to hit the least well off the hardest.”

Hackney

Median home price: £771,960

Ten-Year Price Growth: 92%

Source: Hamptons

Leaving behind its label of next cool neighborhood and eight-fold growth in residential property values ​​in the 20 years to 1996Hackney might have come and gone, but the East London borough is now earning its reputation as one of the best places to buy a home in the looming recession.

Its high levels of gentrification, strong links to central London and “a wide selection of property types, from renovated buildings to newer construction,” make it a strong candidate to hold its values ​​next year, according to Balan.

Hamptons estate agents say Hackney house prices are up 12 per cent this year to £771,960.

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