Prime Central London records its sharpest quarterly price fall since 2009
Values fell in each month of the quarter: by 0.5% in July, 0.9% in August and 0.7% in September. Transactions also slowed, with 491 sales in the three months to July and 2,795 in the 12 months to July, an average of 54 per week, down from 4,209 the year before.
Prices: 3-month rolling average / 12-month rolling average to September 2026. Transactions to July 2026 (latest complete month). Source: Bricks & Logic.
Flat prices are now falling three times faster than houses
Flats are carrying pressure that houses largely avoid. The traditional appeal of acquiring a flat as a rental investment in a safe haven market is diminishing due to higher property taxes and increasing rental legislation. Rising service charges, the cost and uncertainty of remediation under the Building Safety Act, and buyers’ growing preference for freehold over leasehold are also weighing on demand.
Prices: 3-month rolling average to September 2026. 12-month sales to July 2026 (latest complete month). Source: Bricks & Logic.
Since the 2015 peak
Over the same period, the gap between the two markets has widened. The average house price has eased from £4.07m to £3.86m, a fall of 5.2%. The average flat price has fallen from £1.34m to £1.08m, a fall of 19.0%. Flat sales have almost halved, down 46.6%, against 26.1% for houses.
Prices: 3-month rolling average, October 2015 to September 2026. Sales: 12 months to July 2026 against 12 months to October 2015. Source: Bricks & Logic.
The wider market
The wider market is softening more gently. Over the year, prices fell 1.8% across Greater London and 0.6% across England & Wales, against 3.5% in Prime Central London. The longer view is starker: since October 2015, prices have risen 11.3% in Greater London and 37.7% in England & Wales, while prime flats have fallen 19.0%.
Prime villages at a glance
In the year to September, flat prices fell in every village, by more than 4% in eight of them. Houses held up better: seven villages saw falls of less than 2%, and Bayswater was the only village where prices rose. Flat prices are now more than 20% below their 2014–15 peak in nine of the twelve villages.
