The inner London property market is down, but certainly not out, according to the latest research from London lettings and estate agent, Benham and Reeves.

Benham and Reeves analysed all residential property transactions to have taken place since we entered the first lockdown (23.03.2020) and how the capital is performing when split between inner and outer London.

The figures show that there have been just shy of 50,000 sales completed across the capital in this time, with homesellers securing an average of £487,500 in the process.

Months on end of lockdown restrictions have caused many to look from the inside out for bigger homes with the additional benefit of outdoor space, a trend that is apparent when you dissect the London market at a top-line level.

Since March of last year, there have been 65% more property sales across the capital’s peripheral boroughs compared to the number completed in inner London. just 38% of all transactions (18,459) have taken place in inner London, while outer London accounts for 62% (30,494).

However, scratch beneath the surface of this top-line trend and it’s clear that inner London is far from out of favour. While transactions level may be trailing, properties in inner London have sold for an average of £595,000 since lockdown, 34% more than sales transacting in outer London.

When breaking the market down to postcode level, it’s perhaps surprising to see that just two of the top 10 busiest property postcodes since we entered into lockdown are located in outer London.

The CR0 postcode of Croydon and Sutton has seen the most homes sold with 894 completed transactions, demonstrating the homebuyer appetite for homes in outer London. E17 in Waltham Forest also places in the top 10 (5th), with 584 homes sold since lockdown started.

In contrast, the City of London has seen just 35 transactions complete across its busiest postcode of EC2Y.

However, while the City has seen a slump, inner London accounts for four of the top 10 busiest London property postcodes since lockdown began. E14 in Tower Hamlets is the busiest of the lot, seeing the second largest number of transactions (759) across the whole of London since March of last year.

SW18 (622) and SW11 (614) in Wandsworth rank as the third and fourth busiest overall, while SW6 in Hammersmith and Fulham also makes the top 10 with 518 homes sold.

It’s clear that homebuyers are also keen for a compromise, with the SW19, SW16, SW17 and SE10 postcodes all ranking in the top 10, and all sitting on the border of inner and outer London.

Director of Benham and Reeves, Marc von Grundherr, commented: “There’s no doubting that the unprecedented events of the last year have spurred many homebuyers to reevaluate their property priorities, opting for larger homes on the outskirts of the capital and beyond.

This trend has led to the false assumption that inner London has lost its desirability and that buyer demand has evaporated completely. This simply isn’t the case and, in fact, parts of the inner London market have been performing very well since lockdown restrictions were imposed.

As the capital starts to reopen for business, it is inevitable that demand for central London homes will continue to spread.

An interesting trend that is also emerging is the choice by London buyers to sit on the geographical fence, opting for areas that fall on the borders of inner and outer London. This allows them to secure the larger home they seek for a lower price, but without completing forsaking the ability to commute across London with ease.”

Table shows transactions and sold price data for each area since we entered into the first lockdown on 23rd March 2020 and Jan 2021 (latest available)

Inner London
Completed Transactions: 18,459
Median Sold Price: £595,000
% of total transactions: 38%

Inner London
Completed Transactions: 30,494
Median Sold Price: £445,000
% of total transactions: 62%

London (All)
Completed Transactions: 48,953
Median Sold Price: £487,500
% of total transactions: N/A

Table shows the 10 best performing London postcodes based on total transactions since we entered into the first lockdown on 23rd March 2020 and Jan 2021 (latest available)

Postcode districtBorough(s)Completed TransactionsMedian Sold PriceInner/Outer CR0Croydon, Sutton894£350,000Outer E14Tower Hamlets759£560,000Inner SW18Wandsworth622£680,000Inner SW11Wandsworth, Lambeth614£775,000Inner E17Waltham Forest584£490,000Outer SW19Merton, Wandsworth571£711,850Inner and Outer SW16Lambeth, Croydon, Wandsworth, Merton519£475,000Inner and Outer SW6Hammersmith and Fulham518£895,000Inner SW17Wandsworth, Merton516£594,000Inner and Outer SE10Greenwich, Lewisham483£550,000Inner and Outer

Table shows the total number of transactions across each borough, media sold price and the top three best performing postcodes in each borough.

LocationBorough(s)Completed TransactionsOutcodeTransPrice BARKING AND DAGENHAM955£320,000IG11280£315,000 RM10201£310,000 RM8195£320,000 BARNET2074£557,750EN5265£562,000 NW7202£615,000 HA8190£486,750 BEXLEY1859£375,000DA16270£395,000 DA7269£415,000 DA15264£409,000 BRENT1174£515,000NW10335£508,500 NW9182£482,500 NW6173£692,000 BROMLEY2853£475,000BR3474£502,500 BR2452£480,000 BR6448£510,000 CAMDEN1094£785,000NW3326£1,005,000 NW6211£680,000 NW1172£707,500 CITY OF LONDON63£732,500EC2Y35£780,000 EC1A11£765,820 EC4A4£430,000 CITY OF WESTMINSTER1252£895,000W2285£868,000 W9159£705,000 NW8153£868,000 CROYDON2503£400,000CR0871£350,000 CR2430£450,000 CR8278£550,000 EALING1586£489,995W3286£542,500 W5277£685,000 UB6228£465,000 ENFIELD1556£400,000EN1280£399,998 EN3261£345,000 EN2230£487,500 GREENWICH1679£430,000SE10469£552,900 SE18364£360,000 SE9321£420,000 HACKNEY1125£575,000N16269£625,550 E8172£580,050 N1168£675,000 HAMMERSMITH AND FULHAM1212£765,000SW6518£895,000 W6259£905,000 W12192£615,000 HARINGEY1244£540,000N17247£399,000 N8243£575,000 N22180£520,000 HARROW1145£500,000HA2292£475,000 HA3203£467,500 HA7193£545,000 HAVERING2009£380,000RM3317£350,000 RM12290£396,000 RM11283£440,000 HILLINGDON1643£435,000HA4367£505,000 UB10294£456,000 UB4199£395,000 HOUNSLOW1155£435,000W4219£924,000 TW7216£480,000 TW13162£346,500 ISLINGTON949£650,000N1242£751,500 N7211£552,500 N5174£752,500 KENSINGTON AND CHELSEA974£1,260,000W8159£2,000,000 W11159£1,200,000 SW3151£2,000,000 KINGSTON UPON THAMES1176£503,250KT6238£465,000 KT2225£725,000 KT3200£547,500 LAMBETH1988£590,625SW16335£475,000 SW2304£544,000 SW4290£632,500 LEWISHAM1863£445,000SE13302£429,455 SE6288£425,500 SE23275£500,000 MERTON1354£519,000SW19501£750,000 CR4285£399,000 SW20242£699,975 NEWHAM1130£395,000E16361£405,000 E15207£430,000 E6201£363,000 REDBRIDGE1269£445,000IG1202£380,000 IG8190£500,000 IG6161£440,000 RICHMOND UPON THAMES1562£700,000TW1248£792,500 TW2220£596,475 TW11198£740,000 SOUTHWARK1531£546,000SE15345£565,000 SE1271£525,000 SE22262£727,500 SUTTON1393£418,000SM1297£400,000 SM5248£409,000 SM6245£406,000 TOWER HAMLETS1486£502,000E14759£560,000 E1256£500,000 E3246£448,000 WALTHAM FOREST1549£475,000E17584£490,000 E4386£462,250 E10308£455,950 WANDSWORTH2548£674,000SW11614£775,000 SW18613£680,000 SW17476£595,500

Follow CEOWORLD magazine on Facebook, Twitter, Instagram, and LinkedIn.