News · 21 January 2016
Cheapest Flat in London Sells for £79,000
A 75 square foot studio in Clapton has sold at one of the lowest prices seen in London. The catch: it is too small to mortgage.
This is the lowest price sale we have seen in a long time. A 75 square foot studio flat in Clapton (London E5) recently sold with Purple Bricks estate agents for just £79,000.
The property is big enough to be a legal home to one person but not big enough for banks and building societies to be willing to lend on. The minimum size a bank will be prepared to lend on is typically about 330 square feet. Some lenders are stricter and do not lend on studio flats at all, on the basis that they tend to be the first properties to lose value in a downturn.