London is a capital preservation market. Yields are lower than the North West, but the depth of tenant demand, global buyer interest and constrained delivery pipeline support long-run value.
£523,000
Average property price
4.9% (indicative)
Average gross yield
11.4%
5-year price growth
8.7%
Rental growth, 12 months
The investment case
London's private rented sector houses roughly 30% of households, the highest share of any UK region, and new rental supply has fallen for four consecutive years.
Elizabeth line connectivity has re-priced outer-zone locations, with the Royal Docks and East London corridor absorbing the largest share of new investment.
For overseas investors, sterling-denominated London assets remain the standard reference point for liquidity and exit.
Regeneration
Royal Docks Enterprise Zone
£8bn programme, the only Enterprise Zone in London.
Old Oak and Park Royal
25,500 homes planned around the HS2 interchange.
Thamesmead Waterfront
8,000 homes with DLR extension under consultation.
Capital at risk. Property values can fall as well as rise. This is for information only and is not financial advice.
Frequently asked
Are London yields too low for an income-focused investor?
Typically, yes. London suits investors targeting capital growth and liquidity. If income is your priority, our Liverpool and Salford schemes carry materially higher projected NET yields.
Can overseas buyers purchase in London?
Yes. There is no restriction on overseas ownership. Non-UK residents pay an additional 2% stamp duty surcharge, which our calculator includes.