London is one of the world’s most iconic cities, but it's also notorious for being expensive. However, if you’re looking to move to the capital and are on a budget, there are still a few hidden gems that won’t break the bank. From vibrant communities to areas filled with green spaces, here’s a guide to some of the cheapest places to live in London in 2024.
Rental and Housing Market Trends from the Zoopla 2024 Report
According to the Zoopla 2024 Rental Market Report, rental inflation in London has slowed to 5.4%, the lowest level in nearly three years (Zoopla). Although demand for rental properties remains high, particularly in outer boroughs, the pace of price increases has eased, making areas like Sutton, Croydon, and Bexley attractive for renters and buyers alike. Meanwhile, supply shortages and tax changes affecting landlords could keep rents elevated into 2025.
London remains one of the most expensive cities globally, but there are affordable areas, according to Zoopla’s 2024 market insights. Rental inflation across London has slowed to 5.4%, the lowest in three years (Zoopla). Although demand remains high, especially in outer boroughs, the pace of rental price increases is expected to slow down. Outer areas like Sutton, Bexley, and Croydon have emerged as attractive options for renters priced out of central locations. The report also notes that supply shortages, compounded by new tax changes affecting landlords, will likely keep rent prices elevated into 2025.
Top Affordable Neighbourhoods in London
With rising living costs and skyrocketing property prices across London, finding an affordable place to call home can seem daunting. However, 2024 brings some hope, with new data from the Zoopla report highlighting several London neighbourhoods where the cost of living is more manageable without compromising on lifestyle or amenities. Whether you're a first-time buyer, a renter seeking cheaper alternatives, or simply exploring new areas to live in the capital, this guide will take you through the top 10 most affordable neighbourhoods in London. From vibrant cultural hubs to quiet suburban areas, these locations offer a blend of affordability, community spirit, and easy access to everything London has to offer.
Top 10 Affordable Neighbourhoods to Rent and Buy in London (2024)
| Rank | Neighbourhood | Avg. 1 Bed Rental (PCM) | Avg. House Price (2024) |
|---|---|---|---|
| 1 | Sutton | £1,400 | £385,000 |
| 2 | Croydon | £1,450 | £420,000 |
| 3 | Barking and Dagenham | £1,450 | £345,000 |
| 4 | Havering | £1,470 | £400,000 |
| 5 | Lewisham | £1,480 | £455,000 |
| 6 | Hounslow | £1,500 | £430,000 |
| 7 | Enfield | £1,500 | £425,000 |
| 8 | Walthamstow | £1,510 | £470,000 |
| 9 | Bexley | £1,520 | £390,000 |
| 10 | Newham | £1,550 | £465,000 |
Data sourced from Zoopla, 2024 Housing Market Report
This table provides a snapshot of the most affordable cities in London based on average rent prices for a one-bedroom apartment in the city center.
*Data sourced from Zoopla,As these cities maintain steady demand for housing, rental prices are expected to remain stable, offering excellent value for money compared to the rest of the UK.
Sutton
Average Rent (1-bed apartment): £1,400 per month
Average House Price: £385,000
Zone: 5
Sutton offers an affordable suburban lifestyle with excellent schools and green spaces, making it ideal for families. With strong transport links to Central London, it’s a great option for both renters and buyers seeking value for money.
Croydon
Average Rent (1-bed apartment): £1,450 per month
Average House Price: £420,000
Zone: 5
Croydon is undergoing major regeneration, with lower rent and house prices compared to central London. It has a thriving cultural scene and excellent transport links, making it a solid choice for those looking for an affordable place to live with city access.
Barking and Dagenham
Average Rent (1-bed apartment): £1,450 per month
Average House Price: £345,000
Zone: 4
Barking and Dagenham remains one of the most affordable boroughs in London, both for renting and buying. The area is undergoing significant regeneration, making it an attractive option for those looking for long-term investment potential.
Havering (Romford)
Average Rent (1-bed apartment): £1,470 per month
Average House Price: £400,000
Zone: 6
Romford in Havering is a commuter's dream with the arrival of the Elizabeth Line (Crossrail), offering quicker access to Central London. With reasonable house prices and rent, Havering is ideal for those wanting more space and affordability without sacrificing connectivity.
Lewisham
Average Rent (1-bed apartment): £1,480 per month
Average House Price: £455,000
Zone: 3
Lewisham is popular among young professionals and families, offering a mix of urban living and proximity to green spaces. While prices have risen, it remains affordable compared to other inner-London areas, making it a good choice for renters and buyers alike.
Hounslow
Average Rent (1-bed apartment): £1,500 per month
Average House Price: £430,000
Zone: 4
Hounslow’s affordability and proximity to Heathrow Airport make it a great option for professionals working in West London. The borough offers a suburban feel with easy access to large parks and green spaces.
Enfield
Average Rent (1-bed apartment): £1,500 per month
Average House Price: £425,000
Zone: 5
Enfield offers spacious living with good schools and plenty of green areas, making it a popular choice for families. With its suburban charm and affordable housing, Enfield is a great alternative to more expensive areas closer to central London.
Walthamstow
Average Rent (1-bed apartment): £1,510 per month
Average House Price: £470,000
Zone: 3
Walthamstow is a vibrant East London neighbourhood with a mix of trendy cafes, bars, and outdoor spaces like the Walthamstow Wetlands. Although it’s slightly pricier, it offers great value for those looking for an urban vibe with access to nature.
Bexley
Average Rent (1-bed apartment): £1,520 per month
Average House Price: £390,000
Zone: 5
Bexley is ideal for those looking for suburban living with easy access to London. With its green spaces and family-friendly atmosphere, it offers affordable house prices and rental options in a quiet, well-connected borough.
Newham
Average Rent (1-bed apartment): £1,550 per month
Average House Price: £465,000
Zone: 2
Newham, home to Stratford and the Queen Elizabeth Olympic Park, is one of London’s most rapidly developing areas. Although it’s the most expensive on this list, its excellent transport links and range of amenities make it a desirable place to live.
Conclusion
Despite London’s reputation for high rents and property prices, there are still affordable neighbourhoods where you can find value for money. Areas like Sutton, Croydon, and Barking and Dagenham offer budget-friendly living without compromising on connectivity or amenities. As rental inflation slows, these neighbourhoods will continue to be sought after by those looking for both rental and buying options in 2024.
Frequently Asked Questions (FAQ)
Which area in London has the lowest rent?
Currently, Barking and Dagenham is one of the most affordable boroughs in London for renting.
Is it cheaper to live in East or West London?
Traditionally, East London tends to be more affordable than West London, though this can vary depending on the specific neighborhood.
What’s the cheapest zone to live in London?
Zones 4-6 generally offer the most affordable rent prices, but proximity to good transport links means you can still get into the city easily.
