A suburb in north east London has seen the biggest house prices growth since the beginning of the century, data reveals.
The average price of homes across the UK has jumped by 257pc – the equivalent of more than tripling – since the turn of the millennium, according to estate agency Savills. The average house price in 2000 was £88,466, compared with £329,988 today.
But Walthamstow, in north east London, has seen the biggest increase, with prices up more than seven times what they were in 2000, to £553,018.
The town, which is in the borough of Waltham Forest, has seen significant development in the last decade, and was awarded £17.2m in levelling up funding in 2023 to regenerate its high street.
It has the dubious honour of being where Brian Harvey, of boy band East 17, ran himself over with his own car, having eaten three jacket potatoes with tuna mayonnaise – an incident which spawned a number of spoof blue English Heritage plaques.
Eight places have seen growth of more than 500pc, all in London and Manchester, including West Ham, Tottenham and Lewisham.
But it is not only places which have seen significant regeneration where prices have jumped considerably. Upmarket Hampstead and Kilburn now have an average price of £1.2m, an increase of 455pc from 2000, while the Cities of London and Westminster have experienced an increase of 452pc.
When adjusted for inflation, average house prices have grown by 92pc. This huge growth has meant that the deposits needed for first-time buyers to get on the ladder have increased by 327pc, from £13,490 to £57,568.
But incomes have not kept pace with house prices, with the median weekly pay remaining almost flat between 2000 and 2025.
While London has seen the biggest regional growth, the South West has also experienced a large increase, with prices up 289pc. Northern Ireland experienced the smallest jump in house prices, but still recorded growth of 216pc over the 25-year period.
Lucian Cook, head of residential research at Savills, said: “The stellar price growth that we saw in the first five years of the new millennium sowed the seeds for fundamental change.
“The legacy of the credit crunch, including tighter mortgage regulation, heralded the end of long-term inflation-busting house price growth, leading to lower levels of transactional activity and permanently higher deposit hurdles for first-time buyers.
“This, in turn, has impacted how we live. Once heralded as a nation of homeownership, owner-occupied households are now in decline, with the private rented sector growing by 141pc over the period.”
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