Prime property prices in the capital are continuing to rocket, according to recent research by estate agent Marsh & Parsons.
The data revealed that 43% of homes in prime London areas are now worth at least £1m, up from 35% last year.
Prime property prices leapt by 3.5% in the third quarter, meaning that the average prime London property is worth some £1.29m, while central London prime properties average a higher £1.89m.
A four bedroom home would also require a staggering investment of £2.73m. The increase also means that prime property prices have soared by 11.1% compared to the third quarter of 2011.
“After the meteoric price rises seen in prime London in the past few years, the number of property millionaires in the capital has also shot up,” said Peter Rollings, CEO of Marsh & Parsons.
“Properties no longer have to be palatial to be worth £1m. If they are located in a popular prime area, there’s a good chance they’ll be worth a seven figure sum. They do not necessarily have to be ‘mansions’.”
Further figures highlighted that the number of homes in the capital worth £2m is also on the rise. Almost 20% of all homes in prime London locations are worth £2m or more, up from 14.3% a year ago.
“With the supply of homes especially constrained in the central prime areas, wealth has been overflowing into areas like Balham, Clapham and Brook Green, pushing up prices and boosting the number of £1m properties across the capital,” added Mr Rollings.
The data from Marsh & Parsons was mirrored by research from Cluttons, which showed that prime central London property prices had shot up by 7.1% in a year-on-year comparison.