Residential investment monitor, London, Q4 2013

House price growth retains momentum, while rents decline further Capital value growth accelerated during the fourth quarter to 3.00%, from 2.80% during Q3, taking the total increase in values this year to 12.60%.

This is almost twice the growth rate recorded during 2012 (6.40%) and the latest increase pushes the average property value across prime Central London to a record high of just over £1.70 million.

Central North West (3.80%), which encompasses St John’s Wood (4.70%), Maida Vale (4.20%), Hampstead (2.50%), Regent’s Park (3.60%), and Highbury & Islington (4.00%), was this quarter’s strongest performing London region. On a submarket level, Notting Hill (5.90%), in Central West, was the best performing during Q4, with average values standing at close to £2.65 million.