Average house price in London in 2026
Across 78,876 standard residential sales recorded in Greater London during 2025 — the most recent full year in HM Land Registry's Price Paid dataset — the median sale price was £527,500. The average (mean) was much higher, at £689,306, pulled up by a long tail of multi-million-pound sales in the centre. Where you look matters enormously: the median ranged from £380,000 in Barking and Dagenham to £1,150,000 in Kensington and Chelsea — a threefold gap inside a single city.
This piece breaks down what people actually paid for a home in London last year, borough by borough and by property type, and what it costs to buy at the typical price today. Every figure comes from completed-sale records, not asking prices or estimates.
Median, not average — and why it matters here
Most "average house price" headlines quote a mean. In a market as skewed as London's, the mean is misleading: a handful of £20m-plus sales in the prime centre drag it well above what a typical buyer pays. The median — the midpoint, where half of sales are higher and half lower — is the more honest measure of "a normal London home". That is the figure we lead with throughout.
For 2025, London's numbers were:
| Measure | 2025 value |
|---|---|
| Median sale price | £527,500 |
| Mean (average) sale price | £689,306 |
| Lower quartile (25th percentile) | £400,000 |
| Upper quartile (75th percentile) | £750,000 |
| Standard residential sales recorded | 78,876 |
Half of all London homes sold last year changed hands for between £400,000 and £750,000. The £162,000 gap between the median and the mean is the "prime London" effect in a single number.
London median by borough, 2025
The table below ranks all 33 local authorities in Greater London by median sale price across standard residential transactions completed in 2025.
| Rank | Borough | Median sale price | Sales recorded |
|---|---|---|---|
| 1 | Kensington and Chelsea | £1,150,000 | 1,529 |
| 2 | Westminster | £865,000 | 1,919 |
| 3 | City of London | £790,000 | 142 |
| 4 | Camden | £770,000 | 1,756 |
| 5 | Richmond upon Thames | £720,000 | 2,527 |
| 6 | Hammersmith and Fulham | £700,000 | 2,087 |
| 7 | Wandsworth | £647,505 | 4,605 |
| 8 | Islington | £640,250 | 1,842 |
| 9 | Hackney | £581,125 | 2,060 |
| 10 | Barnet | £580,000 | 3,348 |
| 11 | Haringey | £575,000 | 2,239 |
| 12 | Harrow | £550,500 | 1,548 |
| 13 | Merton | £550,000 | 2,166 |
| 14 | Kingston upon Thames | £550,000 | 1,841 |
| 15 | Brent | £550,000 | 1,893 |
| 16 | Waltham Forest | £540,000 | 2,747 |
| 17 | Lambeth | £540,000 | 3,501 |
| 18 | Southwark | £535,000 | 2,882 |
| 19 | Ealing | £535,000 | 2,575 |
| 20 | Bromley | £525,000 | 4,162 |
| 21 | Redbridge | £510,000 | 2,082 |
| 22 | Hillingdon | £510,000 | 2,303 |
| 23 | Tower Hamlets | £500,000 | 2,503 |
| 24 | Hounslow | £485,000 | 1,957 |
| 25 | Enfield | £480,000 | 2,413 |
| 26 | Lewisham | £475,000 | 2,930 |
| 27 | Greenwich | £460,000 | 2,489 |
| 28 | Sutton | £459,975 | 2,242 |
| 29 | Newham | £450,000 | 1,883 |
| 30 | Havering | £450,000 | 3,010 |
| 31 | Bexley | £430,000 | 2,735 |
| 32 | Croydon | £425,000 | 3,724 |
| 33 | Barking and Dagenham | £380,000 | 1,236 |
The pattern is the familiar one: the prime central and west London boroughs (Kensington and Chelsea, Westminster, Camden, Richmond, Hammersmith and Fulham) sit well above £700,000, while the outer eastern and southern boroughs (Barking and Dagenham, Croydon, Bexley, Havering) cluster around £380,000–£450,000. For the highest-value postcodes behind the Kensington and Chelsea figure, see our breakdown of the most expensive London postcodes.
By property type
Property mix explains a lot of the borough variation. Flats dominate London sales — 40,121 of last year's transactions — and sit at the bottom of the price range; detached houses are rare (3,803 sales) and cost more than twice as much.
| Property type | Median sale price | Sales recorded |
|---|---|---|
| Detached house | £900,000 | 3,803 |
| Semi-detached house | £625,000 | 12,521 |
| Terraced house | £590,000 | 22,431 |
| Flat / maisonette | £440,000 | 40,121 |
Because flats make up just over half of all London sales, the £440,000 flat median is the most representative single figure for a typical first purchase in the capital.
How 2025 compared with 2024
London's market was broadly flat to slightly softer year on year. The median sale price edged down from £530,000 in 2024 to £527,500 in 2025. That is consistent with the official index: the ONS UK House Price Index for London fell from 97.0 in March 2025 to 95.0 in March 2026, a year-on-year decline of about 2% (ONS UK HPI, March 2026 release). London has lagged the rest of the UK, where the index was broadly stable over the same period.
These are backward-looking measures of recorded sales and a mix-adjusted index — not a prediction of where prices go next.
What it costs to buy at the London median
Buying at the £527,500 median involves more than the headline price. Two of the biggest line items:
Stamp Duty. On a £527,500 main residence in England, standard Stamp Duty Land Tax is £16,375 — an effective rate of about 3.1% (HMRC residential SDLT rates, 2026). The bill is built from the slices: nothing on the first £125,000, 2% on the portion to £250,000 (£2,500), and 5% on the portion from £250,001 to £527,500 (£13,875).
Crucially for first-time buyers: relief only applies to purchases of £500,000 or less, so the typical London home — at £527,500 — sits above the ceiling and attracts no first-time buyer discount at all. In a cheaper borough the picture changes: at Barking and Dagenham's £380,000 median, a first-time buyer pays £4,000 rather than the £9,000 a mover would pay. We explain who qualifies in first-time buyer Stamp Duty relief explained, and you can run any price through the Stamp Duty calculator.
Mortgage. At the current Bank of England quoted rate of 4.32% for a five-year fix at 75% loan-to-value (Bank of England, April 2026), a buyer putting down a 25% deposit on the £527,500 median would borrow about £395,625. Over a 25-year term that works out at roughly £2,160 a month on a repayment basis. Your own rate will depend on your lender, deposit, term and credit profile — try different figures in the mortgage calculator.
This is general information, not advice. Speak to a qualified adviser before acting.
See the true cost of any London postcode
A borough median is a starting point, not the cost of a specific home. To see the all-in monthly cost — mortgage, council tax, energy from the property's EPC, and stamp duty for your situation — enter a postcode into the Homecost true-cost tool. Try a central example such as SW1A 1AA in Westminster, or compare with how the numbers stack up against renting in our London buying-versus-renting analysis. For more area data, browse the regional prices guides.
Based on 78,876 standard-category residential Land Registry transactions completed in Greater London in 2025 (HM Land Registry Price Paid Data), with Stamp Duty figures from HMRC and the index comparison from the ONS UK House Price Index. See how Homecost uses this data.