London & South East Property Market: Regional Analysis & County Comparison, Q3 2026 Review

The London & South East region encompasses 10 counties, recording a combined 202,368 residential transactions in the 12 months to 30 June 2026. The regional median property price stands at £398,500, with prices rising by 0.2% year-on-year.

On a quarterly view, London & South East median prices moved from £423,708 in Q1 2025 to £405,683 in Q2 2026, a change of -4.3% over 5 quarters. London & South East has now recorded 3 consecutive quarters of price falls.

Local planning authorities across the region approved 2,319 residential applications and refused 1,327 in Q3 2026 (1 July to 30 September 2026), a decision-weighted approval rate of 64%. A further 38 residential decisions have no recorded outcome in the source data and are not counted. Planning figures come from local planning authority records compiled by Landstack, retrieved on 3 October 2026. Councils and Landstack can take several days to publish decisions, so decisions made in the final days of Q3 2026 may not all be included yet.

HM Land Registry has so far registered 4,406 new-build sales across the region for the past 12 months. Registrations lag completions by 6 to 18 months, so this is not a completions figure.

The table below compares all 10 counties in the London & South East region, ranked by median property price. Click any county name for the full market report.

Property prices across London & South East vary significantly. Surrey commands the highest median price at £493,750, while Essex offers the most affordable entry at £343,100 — a spread of £151k.

This price differential creates opportunities across the risk-return spectrum. Premium locations offer higher GDVs but require larger capital commitments, while more affordable areas can deliver stronger percentage returns on lower absolute investment.

Measured by residential planning approvals in Q3 2026 (1 July to 30 September 2026), the most active counties in London & South East are Greater London (953 approved, 57% approval rate), Kent (285 approved, 75% approval rate), Essex (222 approved, 74% approval rate).

By total transaction volume, an indicator of market liquidity and exit confidence, Greater London (57,112 sales), Kent (26,764 sales), Essex (23,805 sales) lead the region.

Developers entering the London & South East market should weigh these two metrics together: approvals show where consent is being granted, while transaction volume confirms buyer demand.

Development finance across London & South East varies by location and scheme size. In premium areas like Surrey, typical scheme GDVs support larger facilities, while more affordable counties may suit developers using bridging finance for refurbishment-led strategies.

Senior development finance is available from 6.5% p.a. at up to 65-70% LTGDV, with mezzanine finance stretching total borrowing to 85-90% of costs. For developers building across multiple sites in the region, portfolio-level facilities can offer better terms.

Construction Capital sources terms from 100+ lenders across the London & South East region. Submit your scheme through our deal room for indicative terms within 24 hours.