Updated October 2026
In short: you're very unlikely to buy a whole, standard flat in London outright for under £100,000. But with that budget you can buy a share of a London flat through shared ownership, and occasionally find retirement flats, short-lease flats or auction lots near that price. Each comes with trade-offs you need to understand before you commit.
1. Shared ownership: the most common route
You buy a share (often 10% to 75%) of a new or resale flat and pay rent on the rest. A 25% share of a £350,000 flat costs £87,500 before fees. In London your household income must be £90,000 or less. You'll pay a mortgage on your share, rent on the remainder and a service charge, so compare the total monthly cost with renting.
2. Retirement flats
Age-restricted flats (usually 55+ or 60+) can sell for much less than equivalent general-market homes, partly because of high service charges and event fees. They suit the intended buyers but are hard to resell and to mortgage, so they're rarely a good investment.
3. Short-lease flats
Flats with fewer than about 80 years left on the lease sell at a discount, because extending the lease can be expensive and many lenders won't lend on very short leases. Get a lease-extension valuation before buying. Recent leasehold reforms are changing the costs and processes, so take specialist advice.
4. Auctions
London auctions occasionally include studios, flats needing work, or flats with sitting tenants at lower prices. Auctions are binding when the hammer falls, so read the legal pack and arrange finance beforehand.
Things to avoid
- "London flats for £50k" adverts that turn out to be fractional schemes, overseas developments or scams
- Non-standard construction that lenders won't mortgage
- Flats with large unresolved service charge or cladding liabilities. Ask for building safety information
First-time buyer support
- Stamp duty relief for first-time buyers on homes up to £500,000, with no tax on the first £300,000
- Lifetime ISA: a 25% government bonus on savings towards a first home costing up to £450,000
How Fraser Bond helps
We help buyers find realistic routes into London property, from shared ownership resales to auction and below-market opportunities, and connect you with mortgage advice.
