Kensington and Chelsea house prices dropped slightly in November

House prices dropped slightly, by 0.4%, in Kensington and Chelsea in November, new figures show.

The drop contributes to the longer-term trend, which has seen property prices in the area suffer a 6.3% annual decline – the worst in the UK.

The average Kensington and Chelsea house price in November was £1,349,778, Land Registry figures show – a 0.4% decrease on October.

Over the month, the picture was different to that across London, where prices increased 0.1%, and Kensington and Chelsea was lower than the 0.3% drop for the UK as a whole.

Over the last year, the average sale price of property in Kensington and Chelsea fell by £91,000 – putting the area bottom of the UK’s local authorities for annual growth.

The highest annual growth in the region was in City of London, where property prices increased on average by 18.5%, to £936,000.

The average UK house price edged down to £295,000 in November 2022, from the previous month's record high of £296,000.

Property prices increased by 10.3% in the year to November, slowing from 12.4% in October.

Nathan Emerson, CEO of Propertymark, which represents estate agents, said: "In November, our agents reported a market that was on the cusp of seeing purchasing power handed back to buyers which was a trend we hadn’t seen in months."

And Roger Evans, director of home finance distribution at Gatehouse Bank, said: “The property market is slowly becoming more favourable for buyers in some areas as rates stabilise a little following the turbulence of 2022.”

First steps on the property ladder

First-time buyers in Kensington and Chelsea spent an average of £1,156,000 on their property – £81,000 less than a year ago, and £17,000 less than in November 2017.

By comparison, former owner-occupiers paid £1,563,000 on average in November – 35.2% more than first-time buyers.

Property types

Owners of detached houses saw the biggest fall in property prices Kensington and Chelsea in November – they dropped 1.8% in price, to £3,968,212 on average. Over the last year, prices dropped by 5.9%.

Among other types of property:

Semi-detached: down 1.1% monthly; down 5.6% annually; £4,047,465 averageTerraced: down 0.1% monthly; down 4.7% annually; £2,689,282 averageFlats: down 0.5% monthly; down 6.8% annually; £1,143,867 average

How do property prices in Kensington and Chelsea compare?

Buyers paid more for properties in Kensington and Chelsea than anywhere else in the UK in November. The average price paid would buy 11.5 homes in Burnley (£118,000), at the other end of the scale.

Across London, property prices are high compared to those across the UK, where the average cost £295,000.

Factfile

Average property price in November

Kensington and Chelsea: £1,349,778London:£542,311UK: £294,910

Annual change to November

Kensington and Chelsea: -6.3%London: +6.3%UK: +10.3%

Highest and lowest annual growth in London

City of London: +18.5%Kensington and Chelsea: -6.3%