London house prices broke through the £600,000 barrier for the first time in April, while the value of homes in the capital has almost doubled over the past seven years.
Property prices in London have risen 11 per cent (£59,605) since this time last year, surpassing all other regions of England and Wales, according to the latest House Price Index from Your Move and Reed Rains.
We are having trouble showing you adverts on this page, which may be a result of ad blocker software being installed on your device.
As City A.M. relies on advertising to fund its journalism, please disable any ad blockers from running on cityam.com, then reload the page to see the rest of this content. More info here.
The average London house price in April 2009 was £321,917. Across London, more affordable areas have had some of the sharpest increases in house prices annually, Your Move and Reed Rains said. In Waltham Forest, the average property value has soared by 113 per cent over the past seven years, more than any other London borough.
Adrian Gill, director of Your Move and Reeds Rains estate agents, said: "Homeowners have been basking in the spring sunshine this April, on the back of the fastest year on year growth in property prices since December 2014.
"These kinds of huge hikes in home values in London mean that Sadiq Khan will now face a serious challenge to deliver his promise of increased affordable housing in the city. Across London, itís been the more affordable areas which have seen some of the steepest increases in house prices annually, as the capitalís residents seek out cheaper properties."
Property values also hit new records in nine of the ten regions in England and Wales, as growth has rippled out from the capital.
This marks the first time nine regions have broken records in the same month since October 2007 at the height of the housing boom, as the market has now fully recovered from the crash.
The average house price in England and Wales is now worth £24,280 more than a year ago, with prices rising 8.9 per cent since April 2015.
Property values now stand just shy of £300,000, at £298,030.
However, property sales slowed in April, readjusting after the rush of interest from landlords in March ahead of new stamp duty rules.
"With an additional 30,000 home sales made in the previous month and buyers snapping up most of the properties on the market, the current pause in transactions was to be expected," Gill added.
"While March saw a record 97,500 home sales Ė the most since November 2007 Ė this April there will have been an estimated 20,000 fewer sales than usually expected for the month. Many homeowners may now decide to wait until after the EU vote before selling their homes, despite significant demand from buyers, so we could see this shortfall continue until June."