In anticipation of Sunday’s London Marathon, Nationwide Building Society has looked at house prices in the main five boroughs of which the race passes through.
The race starts at Greenwich, where the price of a typical house now stands at £268,194. This is £48,000 more expensive than this time last year, and is equivalent of a rise of more than £100 a day. House prices in Greenwich have risen by 279% over the last ten years.
The next stop is Lewisham where the average house is priced at £263,796. Though the cheapest of the five boroughs, it has one of the strongest rates of growth. House prices have increased by 283% in the last ten years, which may be due to a major regeneration programme which took place in 1999.
Further along the route is Southwark. Typically a house costs around £336,315, which is an increase of £57,326 compared to the same time last year, and equivalent to a rise of £157 per day. The borough has also had a strong decade of growth, at 283%.
Once across the river, house prices continue to rise. On average, a house in Tower Hamlets tops £352,127, but it has seen the slowest house price growth over the last ten years at 262%. In the last year, house prices have increased by £56,242, the equivalent to a £146 per day.
Westminster is in the home straight, and it is the most expensive borough of the five. An average house costs £563,293. In the last year it has risen by £112,000, the equivalent of £307 a day. Despite this, house price growth over the last ten year period is the second lowest at 266%.
Fionnuala Earley, Nationwide’s chief economist, said: “The outlook for the housing market still looks rosy given the economic conditions it faces. A lack of housing supply is also a factor that will support house price growth. However, London is not immune from rising interest rates and deteriorating affordability. We would expect the rate of house price inflation in London to cool from the current level of 14.3%, but to remain at a robust level, by the end of 2007.”