Buying in London:the top 10 cheapest postcodes in Zone 1

The Zone 1 label doesn't have to deter buyers with lower budgets. Head five stops on the Bakerloo line to find "fringe prime" homes from £400,000...

Homes in Zone 1, the central zone, have an average price of £1.2 million — yet there are five Tube stops where average prices come in under £700,000. These are Aldgate East, Lambeth North, Borough, Waterloo and Vauxhall.

People talk about postcode power and the allure of top addresses, but buyers on lower budgets do not have to shun Zone 1. Travel five stops — nine minutes — on the Bakerloo line from Elephant & Castle to Piccadilly, and prices increase almost threefold.

This explains the rise of the so-called “fringe prime”, or lower-priced central areas.


Look beyond hotspots such as Nine Elms and Bankside, and head a little inland. Lambeth North, just a short stroll from Westminster Bridge, is relatively “undiscovered”.

Check out the area around Lower Marsh, a lively 160-year-old street market that has had a facelift and is on the up.

“Refurbished shopfronts and new street paving have made a huge difference,” says resident Tina Evans. “All the shopkeepers and locals want to talk. It’s quirky and individual and there’s a sense of community.”

Dover House, a former hotel and restaurant, was originally designed by the architects of Trocadero and Scott’s restaurants in the West End. The Victorian façade has been restored and the interior split into nine flats.

Perspective, next to Lambeth North Tube station, is a complex with flats from £500,000. Call Frank Harris on 020 7620 3400. Valentine Place is a low-rise scheme of 42 flats and mews houses near the Old Vic theatre. From £965,000. Call 020 3437 1294.


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