Are you a foreign young professional looking forward to settling in one of the trendiest areas in London? If so, you’d better rush before the prices hit new records, or just quit and pick another zone.
A new report by Zoopla property agency shows the impact of the housing crisis. Data reveal that over the last five years property prices in some areas of the capital have increased more than fifty per cent.
In East London hotspots Dalston and Shoreditch, for instance, property prices have risen by up to 59.89% and 58.06%, respectively.
As for the average growth of housing prices, Stoke Newington (North London) and Tooting (South East) head the list with £672 and £671, respectively.
Other conflict zones in the capital in terms of housing prices are Stratford (East) and Stockwell (South).
What all of them have in common is most newcomers are wealthy young people attracted by the vibes, the trends and the wide range of cultural gigs and venues. Brick Lane, Old Spitalfields Market, Kingsland Road and the Olympic Park are some of the areas where the rise of housing demand has dramatically increased the prices.
However, the problem is not limited to specific areas. As a result of gentrification, nearby areas are starting to suffer from the same consequences: increase of property prices, emigration of local families and the replacement of traditional shops and business by international brands and leisure facilities.
Apart from London, other British areas severally hit the housing crisis are Montpelier, St Pauls and Stokes Croft (all of them in Bristol) and Jewellery Quarter in Birmingham.
As property and rent prices continue to rise, social media users keep a parallel updated track of London’s housing crisis, showing that gentrification is spreading over the whole city including neighbourhoods that used to be far from the trendy hustle and bustle, like Ealing Broadway, Bow and Lewisham:
Saw Spittalfields Market yesterday. About as edgy and cool as an IKEA catalogue. Sums up the gentrification of London over the past decade.
— Julian Betts (@BettsJulian) 4 de desembre de 2016
— KingT786 (@Kamali786) 23 de novembre de 2016
— TruthSeeker (@LondonRash) 19 de novembre de 2016
— Lgee Faure (@LFaurePhotos) 12 de novembre de 2016
Recent data by Zoopla show house price growth has been slowing since December although it is expected to rise following increasing demand.