A borough-by-borough survey by home insurance specialists has identified the area with the lowest prices for new housing.

Havering’s average ‘new home’ price is just under £300,000 in areas like Romford, Hornchurch and Rainham.

That compares to Westminster at the other end of the price scale, which would set you back £1.8million on average for a new home!

Havering’s prices are more than £70,000 lower than London’s second-cheapest area, Enfield in north London, where average price is £371,500 in areas like Edmonton, Southgate and Palmer’s Green. 

Together the two outer boroughs beat Westminster’s £1.8 million by a long way, as well as the Southbank where average new-build prices in Lambeth top £1.2 million.

The Office for National Statistics analysis carried out by One Sure Insurance brokers compares local authorities that had the lowest median price for all types of new-built housing last year.

“Living closer to the capital drives up the price of new housing,” a statement from the company points out. “This may be why boroughs in outer London are the most affordable when compared to the likes of Westminster and Lambeth.” 

The outer boroughs win hands down for prices compared to the City and West End.

Havering, the eastern-most outer borough, has large areas of protected open country space that extend into the Thames Gateway riverside redevelopment. It follows that Enfield, the northern most outer borough, would be close behind for lower prices, with Hillingdon the furthest westward the third cheapest on average £375,000.

Most areas south of the River also do well the further out they are, like Bexley ranked fourth with average around £380,000 — also within the Thames Gateway area designated as a national priority for urban regeneration. 

Croydon is fifth lowest average at £415,000, with the biggest population of all 32 London boroughs.

Other local authority areas in the top 10 cheapest ‘new housing’ prices are Bromley, Lewisham, Harrow, Sutton and Newham. 

The three most expensive London boroughs with average ‘new build’ prices well above £1million watermark are Westminster, way out on top of the list, followed by Lambeth and Hammersmith & Fulham.

List of lowest average ‘new build’ prices:

Havering                         £298,750

Enfield                               £371,500

Hillingdon                         £375,000

Bexley                                 £379,250

Croydon                             £415,000

Bromley                             £430,000

Lewisham                          £430,500

Harrow                               £455,000

Sutton                                £475,000

Newham                            £480,000

Waltham Forest               £493,200

Brent                                  £505,805

Kingston Upon Thames £510,000

Greenwich                         £510,975

Merton                               £512,500

Hounslow                          £515,875

Ealing                                 £546,737

Tower Hamlets                 £584,300

Barnet                                £595,000

Southwark                         £595,000

Haringey                            £600,000

Wandsworth                     £650,000

Camden                             £685,713

Islington                            £751,549

Hackney                             £949,050

Hammersmith/Fulham £1,137,613

Lambeth                          £1,241,949

Westminster                  £1,809,875