London’s property market gains strength in mid-2025

London’s property market has once again gained remarkable resilience and appeal in mid-2025. This is a particularly appealing fact for savvy investors seeking long-term capital growth and a stable rental market.

The latest data shows a 6%* hike in UK property sales in June 2025 when compared to the same month last year. This marks one of the fastest accelerations in the past four years. The boost in transaction volume is largely due to a rise in supply. At the time of writing this, 14%* more homes are available in the market than a year ago.

For Singapore investors considering lucrative opportunities in London, higher stock levels indicate vast choices and stronger negotiating powers.

Price fluctuation boosts investors’ interest

Up until May 2025, house prices rose moderately across the UK by 1.4%*. This figure is, in fact, a notable rise from 0.3%* growth last June. Rightmove data, however, indicates a slight monthly dip of 0.3%* in asking prices, bringing the figure down to £1,277*. This dip brings the UK average price to £378,240*.

This decent price growth, when combined with continuous demand, indicates a maturing market – a space where sellers are setting realistic pricing amidst high interest rates and ongoing cost-of-living considerations.

For first-time and seasoned investors from Singapore, this moderation offers an attractive entry point into a fundamentally strong market.

London property battles national trends

Unlike national figures, London remains robust on an upward trajectory. Latest HM Land Registry data reports a 2.6%* monthly price jump across the capital. This hike lifts the average London property value as of June 2025 to £695,414* — nearly 84%* higher than the UK average.

Buyer demand within the capital city is 3%* above last year’s levels, with homes receiving inquiries on day one being 22%* more likely to secure a buyer rapidly.

Surge in prime and super-prime activity

Benham and Reeves’ Prime London Demand Index highlights a notable resurgence in high-end property transactions. In Q2 2025, interest from buyers in prime and super-prime properties grew at £2m–£10m and £10m+, respectively.

Clapham leads the board with an almost 37%* increase in prime demand and Fitzrovia marked a 25%* jump in super-prime interest.

Investors have a rare opportunity – they can acquire unmodernised prime properties at discounts reaching up to 12%* in some of London’s most desirable postcodes.

Spotlight on Heron Wharf

Benham and Reeves Singapore is all set to host an exclusive private consultation for the prestigious Heron Wharf, E14. With competitive starting prices and desirable rental yields, this development by the prestigious Berkeley Group is set to revolutionise the thriving London Zone 2.

Heron Wharf is recording an increase in interest among UK-based as well as overseas investors, including those from Singapore, due to its excellent amenities and urban facilities. Residents are surrounded by a 500-metre riverside walkway, 50% green space, a public square and 65,000 sq. ft. of commercial and community space. Besides, both commuters and students are within convenient proximity to Canary Wharf.

Event details

Date: 26th & 27th July, 2025

Time: 11 AM to 06 PM

Location: 10 Marina Boulevard #16-04, Marina Bay Financial Centre Tower

Singapore investors’ sights on River Park Tower, Zone 1

In July, Benham and Reeves Singapore is hosting an exclusive property showcase. The spotlight will be on River Park Tower, a ready-to-occupy, riverside development in the desirable Nine Elms regeneration area, Zone 1.

The luxurious apartments will carry a prime central London address. Investors have the chance to benefit from attractive projected rental yields of up to 5.2%. Residents will be within proximity to the Vauxhall and Nine Elms stations, as well as Battersea Power Station’s vibrant dining and retail scene.

Rental market maintains upward trajectory

Rental values across London mark a steady increment. As per ONS data, the average UK rents grew by 7%* within the twelve months to May 2025, whereas in London, the rents surged even higher at 7.7%*. These figures push the average monthly rent in London to £2,249* – 68%* higher than the national average of £1,339*.

Rents have further soared by 21%* due to a clear imbalance between available rental stock and demand. On the other hand, house prices marked a meagre 4%* increase. Even though rental demand dipped slightly compared to last year, it still stands 60%* higher than pre-pandemic levels.

Looking to the rest of the year, rents are forecasted to rise another 3-4%*, pushed by London’s strong employment base & ongoing international appeal.

Singapore investors’ time for strategic decision

The London property market continues to offer discerning Singapore investors an excellent combination of stability, long-term capital growth potential and a robust rental income. With 20+ offices across the capital and 14 global offices, Benham and Reeves Singapore is backed with solid experience to help discerning investors identify the best property in London, assist with the complete buying process and expertly manage your property.

Contact us today to arrange a private consultation with our London market specialists.