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Property investment stats for Forest Hill, South East London

A complete guide to property investment in Forest Hill.

Last updated: 18 September 2025

Investment summary

Forest Hill sits comfortably in South East London, offering a blend of stability and subtle growth. The area’s property market shows steady momentum, with capital growth over one and three years at 1.9% and 4.1% respectively. Prices reflect London norms, with a median price per square foot at £625 per sq ft, while the price-to-income ratio of 6.6 and rent-to-income ratio of 29.0% are typical for the capital. The area’s demographic profile leans heavily towards degree-educated professionals and families, both in the upper percentiles compared to Britain. Liquidity is reasonable, with properties spending an average of 75 days on the market and annual sales at 460.

Image of Forest Hill, South East London

Key investment stats for Forest Hill

Median price per sq ft

£625 / sq ft

Average rental yield

5.2%

Capital growth (1y)

1.9%

Sales in past year

460

* Property stats calculated for last full calendar year (2024).

Live property stats in Forest Hill

Live prices in Forest Hill, South East London

* Extreme prices clipped for legibility

Properties for sale

Median price

£475,000

25% of properties below...

£350,000

75% of properties below...

£750,000

Most expensive property

£2,500,000

Live listings

310

Median days on market

75

Should you invest in Forest Hill?

Opportunities

  • The average rental yield stands at 5.2%, with the top-performing postcode district achieving 5.3%, which is attractive relative to much of London.
  • Strong demand from professionals and families, both in the 88th and 64th percentiles respectively, supports rental stability and potential for future price appreciation.
  • The achieved price matches the asking price at £0 (the typical achieved discount), suggesting sellers are not under pressure to discount, which signals a balanced market.

Risks

  • Owner-occupier levels are in the 22nd percentile, making the area more exposed to fluctuations in the private rental sector.
  • A relatively high proportion of social and private rented housing (72nd and 76th percentiles) may bring regulatory or tenant risk over time.
  • The student population is in the 71st percentile, which can add some volatility to rental demand in certain pockets.

Outlook

Forest Hill should remain a steady performer in the next 12 months, with the annualised three-year growth rate at 1.3% suggesting ongoing, if modest, capital appreciation. The area’s appeal to professionals and families is unlikely to wane, given the demographic strength in these groups. Rental yields, particularly in the top-performing district at 5.3%, are likely to continue drawing investor interest.

Affordability ratios, while high compared to much of Britain, are par for the course in London and should not deter long-term investors. With liquidity remaining healthy and no forced discounting on sales, Forest Hill offers a blend of stability and incremental growth that fits the bill for those seeking a reliable foothold in South East London.

Live properties in Forest Hill

Investment properties in Forest Hill, South East London

2 bedroom flat for sale
57% below median price

£150,000

2 bedroom flat for sale

Ravensbourne Road, London, SE6

Properties needing refurbishment in Forest Hill, South East London
Needs Refurb
2 bedroom apartment for sale
On market for 157 days

£350,000 - Guide Price

2 bedroom apartment for sale

Sydenham Park Road, London, SE26

Slow to sell properties in Forest Hill, South East London
Slow to Sell
1 bedroom flat for sale
Reduced by 17%

£225,000 - Offers in Excess of

1 bedroom flat for sale

Waldenshaw Road, London, SE23 3

Big price drop properties in Forest Hill, South East London
Big Price Drop
4 bedroom terraced house for sale
High yield opportunity

£620,000 - Offers Over

4 bedroom terraced house for sale

Ravensbourne Road, London, SE6

HMO properties in Forest Hill, South East London
HMO
3 bedroom terraced house for sale
1,033 sq ft

£735,000 - Guide Price

3 bedroom terraced house for sale

Lescombe Road, London, SE23

Properties with planning granted in Forest Hill, South East London
Planning Granted
6 bedroom detached house for sale
45% below median price

£1,750,000

6 bedroom detached house for sale

Duncombe Hill, London, SE23

Low price-per-sq-ft properties in Forest Hill, South East London
Low Price per Sq Ft
2 bedroom flat for sale
39% below median price

£280,000 - Guide Price

2 bedroom flat for sale

Brenchley Gardens, Forest Hill, Lon...

Auction properties in Forest Hill, South East London
Auction

Achieved vs asking prices

Key takeaway: Seller's market

Vendors are holding firm; properties tend to sell at close to asking.

Headline stats

• Median discount: £0

• 1 in 4 properties sell at > £10,000 below asking

• 1 in 10 properties sell at > £20,000 below asking

In percentage terms:

• Median discount of 0.0%

• 25% of properties discounted by > 2.2%

• 10% of properties discounted by > 3.7%

Best places to invest in Forest Hill

Top postcodes for rental yield and (annualised) capital growth

Rank
Postcode
Yield
Capital growth
Median £/sq ft
1SE265.3%0.4%£567 / sq ft
2SE235.2%1.3%£627 / sq ft

Data sources

GeoGlider calculates property investment stats by blending official and proprietary datasets. Here's a quick overview of key sources and how we use them:

  • HM Land Registry: Property transaction and sold-price records for England & Wales used to calculate historical capital growth, price levels and comparables.

  • Office for National Statistics (ONS): Demographic and economic indicators for the UK, including Census 2021, supporting area profiling and market context.

  • Ordnance Survey: Authoritative UK geospatial data powering accurate boundaries, roads and terrain for mapping and spatial analysis.

  • GeoProp: Our proprietary AI pipeline that processes millions of property listings to extract rich features and live market signals.

  • Department for Levelling Up, Housing & Communities: Energy Performance Certificate (EPC) scores and property floor areas.

  • HM Revenue & Customs (HMRC): Household income and employment data to understand local affordability and economic conditions.

Data is updated continuously, matched across sources and rigorously validated.