Property growth in prime central London is starting to outpace outer suburban areas, according to estate agent Marsh & Parsons’ latest London Property Monitor for Q1 2015. 

The firm reports: ‘Historically, property prices in the most affluent prime central areas of London had been accelerating away from values in the rest of the capital, due to consistently higher demand from overseas and domestic buyers keen to live in the most famous London locations. However, over the past two years, areas such as Brook Green and Balham have experienced some of the steepest price rises across the capital.

‘But this looks to have been a short-term phenomenon, as we enter a new phase in the cycle. While outer prime house prices have fallen 1.8% in the past three months, there has been price growth in prime central London of 0.3% throughout the last quarter.

‘This is the first time in over a year that price rises in exclusive central areas like Pimlico and Kensington have overtaken the growth in more affordable areas like Balham, and this is a trend that Marsh & Parsons expect to continue throughout this year.’