House purchases in London are showing green shoots of recovery, according to the latest Rightmove house price index.

The number of sales agreed for homes priced at £750,000 and over climbed 6% in September compared with the same month a year earlier. Rightmove said substantial price reductions in some parts of the capital over the past two years have helped buoy the market.

Lucy Pendleton, director at estate agents James Pendleton, said: “The capital is further ahead than the rest of the country in adopting a more affordable price posture that is pulling buyers back to the table.

“Homes above £750,000 are not that costly for the capital. Despite being well above the national average, they are nowhere near what would be considered London prime. A bounce in agreed sales in this bracket is a significantly positive sign for the London market.

“Beneath £750,000, it is affordability that wins the day so it’s not surprising to see transactions there moving in a different direction but it’s not enough to overshadow London’s achievements higher up the scale.”