Camden house prices rise at fastest rate in UK

Amid widespread concern over a possible housing bubble, house prices in the London borough of Camden are rising at a faster rate than anywhere in the UK. The Nationwide House Price Index reports higher prices across London and the South East in its third quarter report, but Camden is particularly hard hit.

The average year-on-year price rise of a Camden property is 42 per cent, as opposed to 21 per cent for London as a whole. With the average London house price currently calculated as £401,072, a Camden home now costs on average £884,103.

This represents a £62,054 increase from last year’s average, and places homeowning in this area further out of reach for many young professionals

The rate of increase in Camden is in contrast to what Nationwide’s Chief Economist Robert Gardner described as “a slight softening in the annual pace of price growth - from 25.8 per cent in quarter two to 21 per cent” in London prices in general, but will offer little comfort to those hoping to move to the borough.

House prices are rising across the UK, but the average annual increase is currently 10.5 per cent. While most people based in the capital are familiar with the concept of ’London prices’, the average price of a UK house is £188,810: over four and a half times less than the Camden average.

In addition to this, the sheer rate of price increases in the borough suggest that demand is likely to remain high for some time. By contrast, the HomeLet Rental Index for the same period shows that London rents have risen by 9.6 per cent over the last year, with North London rents rising by 7.3 per cent. 

This means that the average North London rent now stands at £1,554. This suggests that those determined to live in the area should seriously consider renting as a more financially viable option.

Published 28th October, 2014

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