Prime Central London Prices To Bottom Out In 2026

Prime central London house prices are expected to bottom out this year, according to Savills.

It says homes in the most expensive parts of the capital will fall by 2 per on average before staying completely flat in 2027.

After that, the property firm expects prices to begin rising again. It says by the end of 2030, prime central London homes will be 8.1 per cent higher than they are today.

Prime central London includes areas such as Chelsea, Kensington, Mayfair, Notting Hill and Marylebone.

While by no means a boom, it will represent a turnaround in central London's property market in the midst of a decade long decline in prices.

Values across London’s most rarefied postcodes fell by 4.8 per cent last year, according to Savills, leaving prices 24.5 per cent below their 2014 peak at the end of 2025.

Expensive homes in outer London are expected to stay flat this year too before rising 1 per cent in 2027 and 12 per cent by the end of 2030.

It defines prime housing markets as the top 5 to 10 per cent of the market in each region. This translates to a property price of £4.5m in central London and £1.85 million elsewhere.

It's worth pointing out that these forecasts apply to average values in the second-hand market, new build values may not move at the same rate.