It’s not just “mansions” that are now million pound homes

The proportion of properties worth £1m in what estate agents describe as “prime London” has risen by over 8% in the past 12 months, according to new figures from Marsh & Parsons.

Just over one third of properties across the prime areas of London were worth £1m or more in September 2011 (34.6%), a figure that has risen to two in five (43%) over the last three months.

The report also shows that properties worth more than £1m are no longer confined to locations in prime central London. In September 2010, 57.1% of £1m properties were located in the traditional prime central locations such as Chelsea and Kensington, a figure that has now fallen to 52.7% as areas to the south and west undergo strong price growth.

However,  this growth has also boosted the number of homes worth £2m in prime London – 18.5% of all homes in prime London are worth £2m or more, compared to 14.3% a year ago, while 35.5% of homes in prime central London are now worth £2m or more.

Peter Rollings, CEO of Marsh & Parsons, said: “After the meteoric price rises seen in prime London in the past few years, the number of property millionaires in the capital has also shot up. Properties no longer have to be palatial to be worth £1m. If they are located in a popular prime area, there’s a good chance they’ll be worth a seven figure sum. They do not necessarily have to be “mansions”.

“International and domestic buyers have been flocking to prime property in recent years, but this influx of wealth is no longer concentrated in the most central locations. With the supply of homes especially constrained in the central prime areas, wealth has been overflowing into areas like Balham, Clapham and Brook Green, pushing up prices and boosting the number of £1m properties across the capital.”

Property for sale in Kensington and Chelsea

Property for sale in Balham

Property for sale in Clapham

Recent Posts on Property

• Million pound investment to bring Liverpool homes back into use
• Building blocks
• London renters are getting poorer and moving further out
• Your chance to own a garden which Henry VIII (probably) used for archery
• Huge variation in city centre property prices

• T. Green

  I remember the middle class ‘my mortgage’ blah blah conversation used to make me vomit years ago. How insufferable it must be now.
  I would suggest getting big gates and armed security guards for your leafy avenues because your gain is a LOT of other people’s loss. How do you think thats going to work out for you?

• http://www.facebook.com/kuma3000 David Hampson

  Average salary of 27K (rounded up), 40% of London houses (“homes”) cost over £1M. You don’t need to be a professor of mathematics to see there is something wrong here…

• http://www.facebook.com/giles.toman Giles Toman

  If my house has “gone up” in price by half a million pounds, that just means that someone is happy to pay that much for it. How does that cause anyone else a “loss”?