Lambeth house prices increased slightly in September

House prices increased slightly, by 0.4%, in Lambeth in September, new figures show.

The rise contributes to the longer-term trend, which has seen property prices in the area grow by 7.6% over the last year.

The average Lambeth house price in September was £561,556, Land Registry figures show – a 0.4% increase on August.

Over the month, the picture was different to that across London, where prices decreased 0.6%, and Lambeth was above the UK as a whole, where prices did not change.

Over the last year, the average sale price of property in Lambeth rose by £40,000 – putting the area 19th among London’s 33 local authorities with price data for annual growth.

The highest annual growth in the region was in Brent, where property prices increased on average by 14.1%, to £589,000. At the other end of the scale, properties in City of London lost 14% of their value, giving an average price of £784,000.

An imbalance between supply and demand for properties saw house prices climb across the UK throughout the pandemic.

But typical property values stalled across the UK between August and September, which caused annual growth to slow.

Andy Sommerville, director at property data provider Search Acumen said the latest data is further evidence of "a turning tide for house prices".

The figures are yet to reflect the full impact of the mini-budget, announced towards the end of September, which sparked volatitility in the mortgage market and saw interest rates on new agreements soar.

Nicky Stevenson, managing director at estate agent group Fine and Country said: “Annual house price growth slowed in September against a backdrop of rising interest rates and shrinking disposable incomes."

“All eyes will now turn to Chancellor Jeremy Hunt’s autumn statement, which is expected to include both tax rises and spending cuts," he added.

First steps on the property ladder

First-time buyers in Lambeth spent an average of £494,000 on their property – £33,000 more than a year ago, and £19,000 more than in September 2017.

By comparison, former owner-occupiers paid £675,000 on average in September – 36.7% more than first-time buyers.

Property types

Owners of detached houses saw the biggest rise in property prices in Lambeth in September – they increased 1.6%, to £1,352,872 on average. Over the last year, prices rose by 10.3%.

Among other types of property:

Semi-detached: up 1.4% monthly; up 10.8% annually; £1,080,623 averageTerraced: up 1.1% monthly; up 10.4% annually; £836,855 averageFlats: up 0.1% monthly; up 6.5% annually; £477,588 average

How do property prices in Lambeth compare?

Buyers paid 3.2% more than the average price in London (£544,000) in September for a property in Lambeth. Across London, property prices are higher than those across the UK, where the average cost £295,000.

The most expensive properties in London were in Kensington and Chelsea – £1.4 million on average, and 2.5 times as much as more than in Lambeth. Kensington and Chelsea properties cost four times as much as homes in Barking and Dagenham (£350,000 average), at the other end of the scale.

The highest property prices across the UK were in Kensington and Chelsea.

Factfile

Average property price in September

Lambeth: £561,556London:£544,113UK: £294,559

Annual growth to September

Lambeth: +7.6%London: +6.9%UK: +9.5%

Highest and lowest annual growth in London

Brent: +14.1%City of London: -14%