Cheapest Places to Live in London

London is well known for being extremely expensive, especially with the rising cost of living and the boom in the house market making it hard for first time house buyers to even purchase a flat as their first property. London is the capital of England and one of the most expensive places to live in the world, multiple reasons add up to make this one of the most expensive places to live.

Here are some of the reasons why London is so expensive:

• High demand for houses

• Limited Housing supply

• Investors and buy to let market

•  Education and healthcare

• Inflation and cost of goods

Living in London is harder than ever, so we have gone out of our way to find the cheapest areas in London for families and single people to buy, check out our quick page navigation to find out more about the cheapest areas in and around the English capital:

Top 10 cheapest places to live in London

Affordable housing in the UK is tough to find in 2024, especially when you’re wanting to live in London. Being the capital of England you have to deal with the highest population of people and the highest cost of living in the UK; the high population impacts the housing market and makes it highly competitive with huge demand meaning housing prices are always rising.

The average house price in London is £700,000 according to Righmove, this price is ludicrously high, so we have found some alternative options for housing in London. Here are our top 10 cheapest areas to live in London for families and single people:

Barking and Dagenham

Barking and Dagenham is mostly known for its affordable housing and their ongoing regeneration plans to help provide more affordable housing in the future. Among one of if not the most affordable boroughs in London to live in, Barking and Dagenham is a great option for any first-time buyer wanting to live in London or family wanting to settle down in the bustling city.

With incredible transport links like the train or the London underground constantly available for public use, Barking and Dagenham also has fantastic road links as its connected to the a13 and a406.

Average house prices in Barking and Dagenham are around £360,000 which is £340,000 less than the average in London, that’s basically another house you can buy to hit the average!

Bexley

Living in Bexley you will find affordable housing and a lower overall cost of living than the majority of London. Bexley is known for having a good community and a family friendly atmosphere. The borough has a strong sense of community with its consistent local events and activities that families can participate and enjoy all year round.

Furthermore, the area has a number of schools from primary, secondary all the way to further education and colleges. To get to these schools Bexley offers fantastic transport links such as a well-maintained railway with several stations.

An abundance of green spaces allows outdoor activities for all ages which is great for everyone living there not just families. Packed with 7 shopping centres, Brexley is perfect for those keen shoppers; these centres also hold multiple restaurants for those wanting a meal away from the house or the kids.

The average house price in Bexley is £553,731 which is £146,269 below the average London house price across all boroughs.

Croydon

Croydon is located in the south of London and is best known for its diversity and affordable housing for all. One of the best places for transport in the whole of London with buses, tram links, rail and a perfectly quick train to Gatwick airport. Croydon has a strong sense of community that has a feeling that everyone knows each other and looks after each other.

Croydon doesn’t lack any educational needs with schools scattered around the area from primary all the way up to colleges and further education. Croydon has a fantastic night life for those younger souls or older ones wanting to let loose, with unique bars and great restaurants options.

The average house price according to Rightmove last year was £389,231 which is a whopping £310,769 below the average in London

Sutton

A suburban family community with outstanding schools and grass spaces, Sutton could be the perfect destination for you to live in. Great for those seeking a quiet place to settle down and relax while also being connected closely with the centre of London which is the opposite of what Sutton is.

Tree lined streets and a multitude of green spaces, Sutton is great for those wanting a more environmental feel while also enjoying city life, favoured by people that are on the verge of retirement or the retired coupled with low crime rate makes it perfect for people wanting the calm lifestyle.

According to Rightmove the average house prices in Sutton are £503,793 which is £196,207 below the London average house price.

Hillingdon

Hillingdon is well known for being the home of Heathrow Airport, which is England’s biggest airport and most used. Hillingdon has great transportation and not just because of Heathrow Airport, they have railway lines in that run through Uxbridge, Ruislip and then Hillingdon that provides direct access to central London.

Hillingdon is a great location for families to settle down, with a multitude of green spaces and outdoor activities for all to enjoy, with a sports and leisure centre and a man-made beach to enjoy in the heat of summer. Educational needs are met with vast amounts of schools and colleges both public and private while also having several grammar schools as well.

On average the house prices in Hillingdon are £509,229 according to Rightmove, this is £190,771 under the average house price in London.

Newham

Located in the East London Borough, Newham has a culturally diverse environment and is best known for being the home of the Olympic Park and Westfield Stratford City. Newham has recently undergone rapid development in the area after the Olympic games in 2012, because of this new residence have been flocking in and new housing has been developed to house them.

Newham has a fantastic nightlife scattered with bars and clubs for those night goers to have fun while also having a plethora of restaurants with culturally diverse cuisine. Shopping facilities are at your disposal with one of the largest shopping centres in the world, Westfield Stratford City.

The average price of a house in Newham according to Rightmove is £418,000 which is £282,000 below the average London house price of £700,000.

Enfield

Known for its affordable living costs and excellent school options for the kids, Enfield is the perfect location for any family to decide to settle down in the outskirts of London. With a wide range of affordable housing and a healthy rental market it is perfect for those wanting to raise a family there.

Enfield has exceptional transport links that connect it to the centre of London and other places in the UK especially through railway while also having easy access to major roads. Known as a relatively safe Borough with high levels of policing and community policing, community policing shows how close the people that live in Enfield are; this makes a healthy and safe environment for families.

According to Righmove, the average price of a house in the Enfield area is £527,690 which is £172,310 below the average house price in London.

Redbridge

Redbridge is located in the northeast of London and has an excellent housing market with a variety of different types of homes on the market, from affordable terrace houses to cozy flats Redbridge has the lot. A cheap rental market allows those that can’t afford a house to be able to live comfortably in London without spending ridiculous amounts of money like you would in the centre of London.

Brilliant transport links allows residence to travel in and out of London quickly while also getting to the centre of London relatively fast. Road and bus access are constant however the traffic is usually bad in areas and have been reported to have congestion across the area.

Average house prices in the is area according to Rightmove is £599,152 which is £100,848 below the London average house price.

Lewisham

Well known for its vibrant cultural diversity, Lewisham is a perfect spot for property investment or settling down with a family. Located in the southeast of London, Lewisham has excellent property prices that are affordable for all with a good rental return for investors and landlords. On top of this, Lewisham has a vast variety of properties available for purchase which is perfect for those on a budget or wanting to spend big.

Popular with young professionals and students, Lewisham is great for first time buyers trying to take their first step on the property ladder in London, especially when London is particularly harsh to first time buyers Lewisham provides affordable housing with a good cost of living in comparison to the rest of London.

Lastly, the average house price in Lewisham is £516,855 this is massively below the average house price in London by a whopping £183,145.

What is the cheapest area of London to live in?

House prices change every year consistently so one year it could be one place as the cheapest then another area the house prices could fall and become the cheapest however, consistently Barking and Dagenham has been considered one of the cheapest areas if not the cheapest area in London to purchase a property and live in.

Barking and Dagenham is not only the cheapest but it has been documented among one of the happiest places to live in London according to Rightmove.

Is South London cheaper than North?

You will find, north London is more expensive than the south of London. The average house price in north London is £825,186 according to Rightmove’s statistics, which is £125,186 more than the average London house price. Below the divide, south London is different, they have an average of £600,456 which is £99,544 compare to the average London house price.

The north of London is £224,730 more than south London’s average house prices.

Which zone is the cheapest in London?

Typically, you will find that the cheapest zone in London is zone 6, zone 6 is known for having the cheapest housing in all of London. Zone 6 has places like Sutton and Hillingdon which are vastly cheaper than most places in London when trying to buy a house.

Zone 6 has a suburban atmosphere and more of a village feel to it rather than the typical busy bustling atmosphere that gets thrust upon you like the centre of London. You will find buildings are more residential rather than big commercial buildings with offices, the places in zone 6 often also have a green feel to them, with multiple parks and leisure facilities.

Where is the most affordable place to live in London for families?

Finding the most affordable place for your family is very important for some, especially when you’re on a budget or just even trying to live in the most expensive place in the England. You will find that the most affordable and best place for families to purchase or rent a house in London is Barking and Dagenham.

Barking and Dagenham is located in the east of London and has a perfect family atmosphere for those families wanting to settle down. Beautiful green parks and leisure centres are perfect for the healthy growth of any growing child and it is full of these kinds of places. Several primary schools and secondary schools are in the area to provide good quality learning for kids of all ages and abilities.

What are the cheapest places to live near London?

Maybe London isn’t for you and is rather too expensive or inconvenient for what you want, then looking just outside of London might be the most profitable and affordable thing for you to do, but where do you look, below are some of the cheapest places to live near London:

Luton

Luton can be located in Bedfordshire which is around 30 miles and is well known to be considerably cheaper to live in than London, you will find this is often the case for those cities and towns on the outskirts of London.

Luton’s average house price according to right move is £310,172 which is £389,828 cheaper, meaning you can get 2 average price houses in Luton for 1 house in London! Rent is also far cheaper in Luton than London making living in this area far easier in general, you will also find cost of living will be much cheaper with utilities, groceries and dining out. The best part about Living in Luton rather than London is the travel, you will be able to get into London relatively fast, approximately 30-40 minutes on the train will get you into London.

Slough

On the outskirts of London and around 20 miles west of central London you will find a popular town named Slough that is located in Berkshire. Perfect for those seeking a family home with affordable housing that is in the proximity of London for easy access to the capital. Good transportation links will be able to get you into London in just 20 minutes which is ideal for commuters coming to and from work.

The average house price in Slough is £420,239, this is £279,761 below the average house price in London. Rent is much more affordable than London making it a great choice for those who don’t have money to spend on a house to settle near London. Cost of living in general is lower than London, with the price of groceries, utilities and transport all being cheaper by a large amount.

Dartford

Dartford is a small town located in Kent which is southeast of London, Dartford has recently been going through a big regeneration scheme to produce new residential developments while also increasing the number of amenities and improving infrastructure. Investment has been pumped into Dartford to help make the area a better place for families to live, now would be the perfect time to invest in a house here while it’s on the up!

The average house price in London is £700,000 and the average house price in Dartford is £355,627 which is £344,373 below London’s average, with that money you could buy a bigger house with less cost of living while also still living relatively near the centre of London.

Should you sell your house and move to London?

Deciding to sell your house can be a difficult decision to make, especially when moving to a big bustling city like London that you might not be used too. London is different from every other city in England, its alive 24hrs a day and doesn’t rest. Making the decision to move must be a calculated one, do you have the money to purchase a house in London and sustain it while possibly having a family? Are there good schools in the area you live in, does the area have good facilities for activities and shopping, these are all things you must consider when moving.

London is a great place to live for the wealthy and the well off, we would highly suggest if you had the funds to live there you will have an experience like no other and it could be the perfect place for you! However, London is unforgiving, if you don’t have the money then it simply is not a place that will be beneficial for you, and we would suggest towns on the outskirts of London as a cheaper alternative.

If you do want to sell your house fast for cash and move to London then look no further as we will buy your property in any UK location for free with no estate agent fees or hidden costs, so what are you waiting for, contact our team today to sell your house in just 7 days!