House prices are rising in Dagenham (Credit: Google Maps)
A study by A-PlanInsurance compared the average price of a house in March 2011 to March 2021 across more than 400 areas of the UK.
In Barking and Dagenham, prices have risen by 96 per cent with the average going from £161,659.74 to £317,184.80 ten years on.
Director of Stoneshaw Estates, Darren Griffiths, said the borough used to be very affordable as it was home to the largest council estate in Europe.
“Most properties that came to the market were bought from the council through the Right to Buy scheme,” he explained.
“But it’s got sort of a unique blend of the travel links into London being excellent and a strong rental market which has always attracted investors.
“No matter which direction you go in from the Dagenham area, if it’s north, south, east or west, every area is more expensive which is quite unusual… it’s kept demand high in the area for years.”
Darren thinks prices are likely to continue rising over the next ten years as more money is brought to the area.
Crossrail is also expected to begin operating in the area next year and the Beam Park development is in full swing.
The coronavirus pandemic has also helped the housing market rather than damage it as initially expected.
“What fueled it at the beginning was a lot of families all together at home at the same time, which was not the norm for them, and they realised their house might be a bit too small,” added Darren.
“Then the Stamp Duty holiday was announced and it was a perfect storm to kick up the housing market.”
The Stamp Duty holiday will finish at the end of June but many people who took advantage of it think there is not enough time to sell their property and buy a new one according to Darren.
This means the housing supply is dwindling but demand is still higher than ever.
Of the top ten areas with the highest average house price increase in the UK, nine are London boroughs.
Waltham Forest and Hackney are first and second respectively while Newham came fifth.
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