Are you looking for some of the cheapest places to live in London?
No matter what your reasons are for wanting to live in London, there is no doubt that it stands as one of the world’s premier destinations.
Whether you’re captivated by its rich history, vibrant arts scene, and global cuisine, or your aim is to secure employment within your preferred industry, London offers a compelling array of reasons to make it your new home.
It is important to note that the city is well known for its high cost of living, there is nothing cheap about London.
So, where do you start a search for a place to live which will not cost the earth?
Whilst finding a truly “cheap” place to live within the city is a challenge, there are some neighbourhoods that tend to be more budget-friendly compared to the city’s average and well worth considering.
Here we explore the 7 cheapest places to live in London that have historically been considered among the relatively more affordable places to live in the big city.
Barking was once a huge manor that covered the areas now known as Barking, Dagenham, and Ilford.
Although this area is located in East London further from the city centre, Barking is becoming an up-and-coming location within London.
There are plenty of trains departing from Barking Station both underground and overground, with central London being around a 38-minute trip, a very doable commute.
With homes here being more affordable than in many places this close to the city, Barking is a good place to start your adventure in London.
Plus, as Barking is a “work in progress”, getting onto the property ladder now if you can, will ensure that in a few years, you will see a good return on your investment.
With the current average cost of a home standing at £367,833, it certainly is a bargain area.
This is another East London location and sits right next door to Barking with similar amenities and convenience of travel.
The London Underground’s District and Hammersmith & City lines serve the area, allowing for relatively easy commuting and just slightly quicker (20-minute trip) into central London.
Once known for being a rather drab run-down location, Dagenham has been undergoing regeneration efforts in recent years to improve its image and quality of life for local residents.
There are some really nice green areas such as Old Dagenham Park and Beam Parklands Country Park within the district, making the area particularly attractive to families.
With a large Asda superstore in the town along with other relatively good amenities, plus plenty of Ofsted-rated “good” schools Dagenham is one to look out for if you are moving to London with children.
Unsurprising as Dagenham is so close to its neighbour Barking, property costs are similar, and by London standards good value.
Located in South London, part of the county of Surrey.
There are some neighbourhoods in the town that would suit families perfectly well.
Being one of the largest commercial districts in Greater London, with an extensive shopping district and night-time economy, it is equally as appealing to young professionals.
Croydon’s three rail stations and good access links by road ensure swift connections to all areas of the region.
In fact, it is just a short 14-minute journey, and you are in the middle of the capital.
Boasting a diverse and welcoming community Croydon is home to people from all backgrounds and ethnicities.
Homes in the town exceed the UK average cost by quite a bit, but in reality, it is entirely possible to buy a three-bedroom apartment for around £300,000.
Living in Croydon might initially appear to carry a hefty price tag.
However, upon closer examination, its combination of well-established infrastructure and proximity to the capital makes it another affordable location, ideal as an alternative to central London.
Back to East London, the borough of Newham is just north of the river Thames adjacent to Greenwich, Hackney, and Tower Hamlets.
Once an area to be avoided, the redevelopment of the Docklands as well as development related to the 2012 Olympics have contributed to reversing its declining trend.
This is now a very popular location with students attending the nearby University of East London.
A very handy location and cheaper than most dotted with budget-friendly housing options and plenty of lovely Victorian terraced homes.
Renting is prevalent across the borough and a room within a house share basis costs from £800pcm.
If you are planning to own a home here, there are plenty of help-to-buy schemes available for first-time buyers.
While a three-bedroom terraced home will cost upward of £350,000, or a detached property will cost from £550,000, an absolute bargain by London standards.
This South London borough offers a mix of housing options and has seen some development that caters to a range of budgets.
Like so many areas across the region, over the past few decades, Lewisham’s standing has undergone significant regeneration to ensure it stands the test of time.
It has been successfully enhanced without sacrificing its unique character.
Notably, Lewisham boasts one of the most expansive commercial sectors in the southeastern part of London which for many negates the need to commute into the city centre.
This area has plenty of potential and some great value properties for sale.
New homes are popping up all over Lewisham, proof that it is well worth investing here for the future.
Many people tired of paying the high inner city property costs have opted to move further out and take advantage of the area’s more reasonably priced homes.
There are still some costly properties on the market throughout the borough, but by no means are all homes priced within the top bracket.
On the contrary, properties in Lewisham had an overall average price of £575,152 during the past 12 months.
Not bad at all for London.
Located in North London, Haringey has a mix of neighbourhoods with varying price ranges, some of which can be relatively more affordable.
Consisting of Crouch End, Tottenham, Wood Green, and Muswell Hill, Haringey boasts exceptional transport connectivity to Central London. An optimal choice for those who commute.
Situated a mere seven miles north of Central London, Haringey is a both diverse and dynamic borough with an abundance of amenities and attractions to hand
This region provides a spectrum of housing options, ranging from Victorian terraces to contemporary flats, catering to a diverse range of budgets and lifestyles but with affordability at the forefront.
Haringey is a favoured rental spot that is known to provide landlords with a good return on their investments and offers potential tenants plenty of homes to choose from.
However, the majority of homes sold in Haringey during the last year were flats, selling for an average price of £497,054, yet again, great value for London.
7. Waltham Forest
Positioned in the northeastern part of London, Waltham Forest has gained attention for both its affordability and connectivity.
Incorporating several neighbourhoods like Walthamstow, Leyton, and Chingford, the presence of good transportation links, including the London Underground and Overground services, have made it particularly attractive to those who need to commute to other parts of the city.
This London borough has as its name suggests, offers some lovely green spaces despite it being near the capital.
North of the borough in Chingford you have the vast expanse of Epping Forest, whilst to the west is Walthamstow Wetlands, perfect places to spend time amid the outdoors.
Homes which sit close to these areas command premium prices, however, closer to the centre of the borough, you will find a good assortment of more pocket-friendly properties.
For instance, one-bedroomed flats start at around £200,000 and for families requiring more space, three-bed terraces are available for between £450,000 – £500,000.
What this area does have is a huge choice of new development properties that offer buyers affordable ownership schemes. A great incentive for local people.
You can find out more about help to buy homes via the Waltham Forest Council website.
Alternative Ways to Find Cheaper Home in London
Finding a home, you can afford in London is always going to be difficult, but plenty of people manage to do it and not all are millionaires.
By implementing a long-term plan and moving several times, you can gradually work your way closer to London over a few years.
There are some alternate ways you can help to make it possible:
Prepare for the future
Investing in property almost always gives buyers a good return on their investment over time.
The housing market may rise and fall from time to time but, property values always continue to increase if you are patient.
Firstly, where you live is going to have the largest impact on cost.
Opting for one of the above locations, which sits further outside the city always brings the price down and is a good way to get onto the property ladder to start with.
Buy a Project
A great way to ensure you increase your equity in a home is by renovating.
If you can add an extra bedroom, you can really boost your profit. Loft conversions are ideal ways to add an extra room.
Install a new kitchen and a sparkling new bathroom, update the garden area, and don’t forget that curb appeal is all important.
Yes, it takes time, patience and money but upgrading is one of the best ways to boost the value of your home in a relatively quick time.
Here are some top tips to increase the value of your home: www.bankrate.com/homeownership/home-renovations-that-return-the-most-at-resale/
This is not for everyone, but it has become an increasingly popular method of gaining home ownership in recent years.
Some local housing associations offer shared ownership schemes where you buy a portion of the property and pay rent on the remaining share.
This can make homeownership more attainable.
Halifax have published a very useful guide about shared ownership mortgages, you can find out more by visiting their website here.
Visit an Auction
Properties sold at auctions can sometimes be purchased at lower prices. However, it is important to note that this comes with risks and requires thorough research.
Real estate auctions provide an effective avenue to secure a deal or swiftly acquire a property.
You will need some cash up front, but you can still get a mortgage for auctioned properties.
Zoopla has some great advice about how you can bag yourself an auction bargain and where to find one in your location.
Ready to Move to One of the Cheapest Places to Live in London?
Are you thinking of living in London?
If you are considering the move hopefully one of our cheapest places to live in London has caught your eye!
England’s eclectic capital city certainly offers something for everyone.
A truly remarkable location, London offers a host of excellent areas and suburbs that are sure to suit you.
Regardless of which of the cheapest places to live in London you choose, White & Company can help get you there!
You can start planning your dream move with the assistance of our London House Removals service from White & Company today.
We are also pleased to offer our new video survey service.
With this new technology, we can safely perform remote removals surveys, determining all the relevant information for your move, all from the security of your own home.
Do not hesitate to give us a call today or fill out a quick quote form to see how we can get your move to London underway.
Max is a seasoned writer and blogger in the real estate and home moving sectors, as well as a knowledgeable source of information for expatriates living and working abroad. His detailed insights have helped thousands of people move and live abroad with greater simplicity and ease.