London commuter-area house prices rise again as Bromley and Waverley lead £40,000 gains

House prices in London’s commuter belts rose again over the past year, led by Bromley in southeast London and the Surrey district of Waverly, where property values climbed by more than £40,000 since last July, according to the latest House Price Index.

Eight of the top 10 locations with the highest price rises are commuter areas around the capital, according to the latest House Price Index. Camden, in north London, posted the biggest annual increase in the UK, up 6% year-on-year to £920,087, a gain of about £53,365. Bromley has increased by 8% since July 2024, to £538,904 (+£45,268). Waverly is up 7% to £579,891 (+£40,592).

But not all areas followed the same path. Thanet, popular with people moving from London to coastal towns, fell 2% to £268,443. Bath and North East Somerset dropped 1%, and in Cornwall values stagnated. Homes in Torbay and Exeter each shed around £10,000 over the year.

Across London, 20 boroughs posted increases and 13 declined. Barking and Dagenham rose 8% since last summer, adding £27,770 to the price of homes to an average of £360,648. Waltham Forest also climbed, with prices up about £27,687 to an average of £512,726.

In Surrey, the district of Waverly has also posted gains, with more than £40,000 added to the value of the average property since last July. Westminster fell 5% to £976,519, while Kensington and Chelsea dropped 3% to just over £1.3 million.

England overall has risen 2.7% since last July, with the average property now worth £291,852. Wales rose about 2% to £209,178 on average, and Scotland saw a 3.3% year-over-year increase to roughly £192,050; the UK average stood near £270,000.

Robert Nichols, managing director of Purplebricks Mortgages, said: Lower mortgage rates coupled with a falling Bank of England base rate is encouraging more movement in the market. Those twin factors are nudging thousands of Brits — who were previously resigned to stay put — to start home-hunting again. This steady increase in demand is fueling house price rises. While that might sound like bad news for home-hunters, both lower mortgage rates and the Bank of England's changes to borrowing rules to help first-time buyers means there is more hope for those wanting to get a foot on the ladder.

Tom Evans, sales director at Purplebricks Estate Agency, said: The good news keeps on coming for homeowners across the UK, including those wanting that first foot on the ladder. We're confident the upward trend in house prices will continue into next year.

The data come five years after the pandemic sparked a work-from-home revolution, and they underline a market that remains buoyant in commuter counties tied to London’s job market, aided by mortgage-rate dynamics and shifting borrower rules that influence affordability for buyers at different income levels.