Authored by the expert who managed and guided the team behind the United Kingdom Property Pack
Yes, the analysis of London's property market is included in our pack
Where are the best places to invest in London right now? Is Shoreditch still the top pick, or are areas like Battersea, Croydon, and Stratford gaining ground? What makes these locations attractive to both local and foreign investors?
We’re often asked these questions because we work directly with estate agents, property developers, and clients who invest across the city. Our firsthand experience in these markets gives us unique insights into where the real opportunities lie. To save everyone from asking privately, we’ve written this article to share our knowledge broadly.
Our goal is to highlight the hottest markets in London and explain why they’re worth your attention in 2025.
If you have suggestions or want us to dive deeper into a specific area, let us know. You shoot an email, we answer within 24 hours.
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1) Bermondsey is gaining interest for its modern developments and historic charm, driving strong property demand
Bermondsey is a hot spot for investors thanks to its blend of modern living and historic charm.
From 2022 to 2023, the average property price in Bermondsey climbed to £538,572, showing a 5.6% increase from the previous year. This upward trend makes it a promising area for those looking to invest.
What makes Bermondsey even more attractive is its affordability. You can snag a property here at a 23% discount compared to Greater London, offering great value in a prime location. The area is buzzing with activity, with 363 flats and 56 houses sold between July 2022 and June 2023.
The rental market is also thriving. Rents in Bermondsey were higher in Q2 2023 than in Q2 2022, thanks to a supply and demand gap. This means higher rental yields, with the UK average at 6.73%, making Bermondsey a reliable income source.
Investors are drawn to Bermondsey not just for its financial perks but also for its unique character. The area offers a mix of new developments and historic sites, creating a vibrant community atmosphere.
Sources: KFH, Global Property Guide, Barratt Homes
2) Crystal Palace is gaining interest for its affordable homes and strong community vibe, attracting first-time buyers
Crystal Palace is catching eyes for its affordable homes, a big plus for first-time buyers.
In the first half of 2024-25, 83% of new homes were affordable, up 12% from last year, showing a clear push for budget-friendly options. This is great news for those stepping into the property market for the first time.
But it's not just about the prices. Crystal Palace is known for its lively community vibe. The Out For Sport Festival in June 2024 drew over 500 visitors, highlighting the area's focus on inclusivity and community spirit. Events like these create a welcoming atmosphere, perfect for first-time buyers seeking a supportive neighborhood.
Local efforts boost this community feel even more. By supporting local shops and eateries, the area not only strengthens its economy but also keeps its unique character alive. This sense of community, along with quirky antiques and vintage finds, makes Crystal Palace even more appealing.
For those who love a bit of history and charm, Crystal Palace offers a mix of locally-made goods and hidden gems that add to its allure. It's a place where you can find something special around every corner.
Sources: Housing Statistics December 2024, Out For Sport Festival, Shop SE19
We have made this infographic to give you a quick and clear snapshot of the property market in the UK. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
3) Forest Gate is gaining attention for its property appreciation potential, boosted by the Crossrail development
Forest Gate is catching eyes for its property appreciation potential, thanks to the Crossrail development.
Since Crossrail was announced, property values in Forest Gate have jumped by 65.39%. This puts it just behind hotspots like Bond Street and Tottenham Court Road in terms of price hikes along the Crossrail line. The area is buzzing with excitement as the new transport links make it more accessible and attractive.
Crossrail's impact is clear, with average property values along the line growing by 73% since 2012. Forest Gate enjoys quicker commutes, like an 11-minute cut to Canary Wharf, boosting its appeal. The area is also seeing a facelift, much like Stratford did with the Olympic Park and Westfield Stratford nearby.
Real estate experts are calling Forest Gate a property hotspot. JLL's research shows that homes near Crossrail stations, including Forest Gate, are outperforming the regional average in value growth. This is a big deal for potential buyers looking for a smart investment.
Pettyson's blog highlights Forest Gate's charm, pointing out its proximity to central London, good schools, and a blossoming café scene. It's becoming a desirable place to live, not just for its transport links but for its community vibe.
With all these factors, Forest Gate is on the radar for those looking to invest in property. The Crossrail development is a game-changer, making it a prime spot for future growth.
Sources: JLL Research on Crossrail Impact, The Crossrail Effect: Forest Gate and Manor Park
4) Haringey is gaining interest for its diverse housing and improving local amenities
Haringey is becoming a hot spot for homebuyers, thanks to its diverse range of housing options.
Whether you're looking for a cozy flat or a spacious terraced house, Haringey has it all, and this variety is driving up property prices. In fact, the average house price in Haringey jumped by 7.3% from 2022 to 2023, showing just how much demand there is.
What's really exciting is the buzz around new development projects like Alexandra Gate and Haringey Heartlands. These aren't just about adding more homes; they're about creating vibrant spaces with new shops, restaurants, and cultural venues that make the area even more appealing.
Families and individuals are also drawn to Haringey because of the local government's investment in infrastructure and public services. The council is committed to building new homes and improving local amenities, which is a big plus for anyone looking for a community-focused area.
Insider tip: Keep an eye on the ongoing regeneration projects, as they are set to transform Haringey into a lively urban hub. These projects are not just about housing; they're about enhancing the local environment and creating a place where people want to live.
With all these developments, Haringey is shaping up to be a promising area for property investment. The combination of diverse housing, improving amenities, and a strong community vibe makes it a top choice for buyers.
Sources: KFH, LSE Blog, Haringey Council, Rightmove, Showhouse
5) Battersea is thriving with rising property values due to the Battersea Power Station redevelopment
Battersea is buzzing thanks to the redevelopment of the iconic Battersea Power Station.
In 2022, the area saw a surge in property interest, with £480 million in residential sales at the Power Station alone. The launch of Koa at Electric Boulevard was a hit, with over 80 apartments snapped up in just eight weeks.
The transformation is not just about homes; it's about lifestyle. The £9 billion project has turned Battersea into a lively hub with over 250 shops, cafes, and restaurants, plus a theatre, hotel, and medical center. This mix of amenities is drawing in both locals and tourists, making the area a hot spot.
Transport is a game-changer here. The new Zone 1 extension to the Northern Line has made Battersea more accessible, boosting its appeal to buyers and investors who value convenience.
With 19 acres of public space, the area offers a breath of fresh air in the city. This green space is a big draw for families and professionals looking for a balanced urban lifestyle.
All these elements combined are pushing property values up, making Battersea a prime location for those looking to invest in London real estate.
Sources: KFH, Battersea Power Station News, Battersea Power Station Masterplan
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6) Walthamstow is booming with rental demand thanks to its great transport links and vibrant community atmosphere
Walthamstow is buzzing with rental demand, and it's easy to see why.
One big draw is its fantastic transport links. Walthamstow Central Station was the busiest in the borough last year, with 3.4 million people coming and going. This shows just how convenient it is for folks to get around, making it a hot spot for renters.
But it's not just about getting from A to B. Walthamstow has a vibrant community vibe that people love. Surveys show that residents really appreciate the unique feel and amenities, especially around the Town Square and Gardens. This sense of belonging makes it a place where people want to put down roots.
The area is often in the spotlight for its cultural events and community activities. This lively atmosphere, paired with those great transport links, makes Walthamstow a top pick for anyone looking for a dynamic and well-connected place to live.
Walthamstow's charm is in its mix of convenience and community. It's a place where you can easily hop on a train and also enjoy a strong sense of local life. This combination is what keeps drawing people in.
So, if you're thinking about moving to the country, Walthamstow might just be the perfect spot with its blend of accessibility and community spirit.
Sources: Home.co.uk, Waltham Forest Echo, Waltham Forest Government
7) Woolwich is attracting interest with its regeneration projects and enhanced transport links
Woolwich is becoming a hot spot in the real estate market, thanks to some exciting developments.
The completion of the Elizabeth Line has transformed Woolwich's connectivity, making it a breeze for commuters. Now, you can get from Woolwich to Farringdon in just 14 minutes, which is a game-changer for anyone working in the city. This improvement in transport links is a major draw for potential buyers and renters looking for convenience.
Woolwich is also seeing a surge in local regeneration projects, which are reshaping the area. A notable example is the 1,500-home regeneration scheme that's been proposed to the Greenwich council. This ambitious project aims to create a vibrant community with a mix of student homes, co-living spaces, and affordable housing, attracting a diverse crowd to the area.
The private rental sector in Woolwich is thriving, with rental yields on the rise. Since 2019, the average gross yield for new apartments has jumped from 3.4% to 6.0%, making it an appealing option for investors. This growth in rental yields is drawing attention from those looking to invest in a promising market.
Media coverage is also playing a role in Woolwich's rising popularity, often highlighting it as an up-and-coming area. This buzz is helping to put Woolwich on the map as a desirable place to live and invest.
With these factors in play, Woolwich is quickly becoming a sought-after location for both homebuyers and investors, offering a mix of convenience, community, and opportunity.
Sources: KFH, Housing Today, RGS, Fairview
8) Acton is gaining popularity with the Elizabeth Line boosting connectivity and property prices
Acton is gaining popularity thanks to the Elizabeth Line, which has made getting around much easier.
Since the Elizabeth Line opened, property prices in Acton have jumped by 59%, attracting wealthier buyers. This price hike shows just how appealing the area is becoming. The improved commuting options have sparked a surge in demand for homes, with local real estate agents noticing more interest from potential buyers. It's a clear example of how better transport links can make a place more desirable.
The Elizabeth Line has cut down travel times to central London, making Acton a hot spot for both living and business. This boost in connectivity has not only driven up property prices but also increased foot traffic and business growth. For instance, there's been a 7% year-on-year rise in office take-up in West London, including Acton.
Acton's transformation is evident in the bustling streets and thriving local businesses. The Elizabeth Line has made it easier for people to explore the area, leading to a vibrant community atmosphere. This change is attracting new residents and businesses, eager to be part of Acton's growth story.
With the Elizabeth Line, Acton is now a more convenient and attractive place to live. The area offers a mix of urban living with easy access to central London, making it a prime choice for those seeking a balanced lifestyle. The ongoing development and investment in the area are signs of its promising future.
As Acton continues to evolve, the Elizabeth Line remains a key factor in its rising popularity. The improved connectivity is not just about getting from point A to B; it's about enhancing the overall living experience in Acton.
Sources: Propiteer Capital, CoStar, Evening Standard
We made this infographic to show you how property prices in the UK compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
9) Peckham is booming with rising property values fueled by trendy cafes and art spaces
Peckham is buzzing with rising property values, thanks to its trendy cafes and art spaces.
Take the Peckham Levels Art Space, for example. This place used to be a multi-story car park, but now it's a creative hotspot with art installations, local artisan shops, and street food vendors. It's a big draw for both locals and visitors, adding to the area's charm.
From July 2022 to June 2023, the average sold price for properties in Peckham was £634,126. Fast forward to January 2025, and the average listing price jumped to £817,209. Homes are in high demand, selling for an average of £702,850 and spending just 15 weeks on the market.
Young professionals and creatives are flocking to Peckham, attracted by its unique mix of culture and community. Initiatives like the Youth Platform are supporting young creatives, which is shaping the area's dynamic vibe. Social media is buzzing with photos and stories of Peckham's lively cafes, art spaces, and cultural events.
Peckham's transformation is not just about property prices; it's about a lifestyle shift. The area is becoming a cultural magnet, drawing in a diverse crowd eager to be part of its vibrant scene. This shift is evident in the growing number of trendy spots and community-driven projects.
With its blend of culture, community, and rising property values, Peckham is a place to watch. It's not just a neighborhood; it's a thriving cultural hub that's capturing the attention of many.
Sources: KFH, Stasher, Peckham Platform, GetAgent
While this article provides thoughtful analysis and insights based on credible and carefully selected sources, it is not, and should never be considered, financial advice. We put significant effort into researching, aggregating, and analyzing data to present you with an informed perspective. However, every analysis reflects subjective choices, such as the selection of sources and methodologies, and no single piece can encompass the full complexity of the market. Always conduct your own research, seek professional advice, and make decisions based on your own judgment. Any financial risks or losses remain your responsibility. Finally, please note that we are not affiliated to any of the sources provided. Our analysis remains then 100% impartial.