London homes are cheaper than first-time buyers think!
We all know London is an expensive place to buy a home, but maybe it’s not as pricey as some people think.
According to a survey by Barratt London, most first-time buyers in London actually overestimate house prices in some parts of the capital.
The majority (62%) of people looking to buy their first home in London thought properties were more expensive than they actually are, with homes in Westminster, Brent, Camden and Hammersmith & Fulham perceived as some of the most expensive.
Cheap as chips
In Westminster 79% of people overvalued the cost of a first floor, two bedroom apartment in Marylebone, valued at £849,995. First-time buyers guessed the property was on the market for an average of £955,266, 12% more than the listed price.
In Brent 66% misjudged the value of the cost of a new build open plan apartment with two bedrooms in Stonebridge, estimating it would cost an average of £418,496, when in fact the property was listed at £379,950, miscalculating by 10%.
In Lewisham 52% of people overestimated the value of a £425,000 two bedroom, Victorian top floor split level flat, speculating the property would cost an average of £433,983 to buy.
“We carried out this research to find out how first-time buyers perceive the cost of homes across London”, said a spokesperson for the firm. “A huge number of respondents clearly think that house prices in London are higher than they are, which comes as no surprise in today’s property climate.”