Living Costs vs House Prices in London: What Buyers Should Know in 2025

London’s appeal as a global city comes with a price tag—not just for property but also for daily living expenses. When planning a move or investment, understanding the balance between living costs and house prices in 2025 is crucial.

How Living Costs Impact Affordability
While the average house price in London hovers around £700,000, monthly living costs add another layer of financial consideration. For a family of four, average monthly expenses excluding rent range from £3,000 to £4,500, depending on lifestyle and borough.

Affordable boroughs like Barking & Dagenham or Sutton offer lower housing prices and slightly reduced living costs. In contrast, prime areas such as Kensington or Westminster not only have higher property prices but also come with premium costs for dining, childcare, and transportation.

Balancing Lifestyle and Budget
Many buyers opt for outer boroughs with excellent transport links to central London, achieving a more manageable balance between mortgage payments and daily expenses. Regeneration zones like Woolwich and Croydon also offer affordable housing options with growing local amenities.

At TrustPoint, we help you evaluate both property prices and the cost of living in your desired area, ensuring your move to London is as seamless as possible.