A headline figure says nearly four in ten London flats now resell for less than they cost. Before you panic, read this. Selling a flat in London rarely means a loss when you understand what buyers really look at, and fix it first.
If you own a flat and keep seeing scary headlines, take a breath. Selling a flat in London is not the trap those headlines suggest. Yes, a recent study found that nearly four in ten London flats resold below their old price. That number is real, and it is worth understanding.
Here is the part the headlines skip, though. That figure is an average across thousands of very different homes. It is not a forecast for your flat. Selling a flat in London still works out well for plenty of owners, and the difference usually comes down to a few things you can control.
So this guide does two things. First, it explains what the number really means. Then it shows you exactly what to check and fix, so your sale lands on the right side of that statistic.
Not sure where your flat stands?
Find out with an honest valuation from a team that has sold East London flats since 1988.
What this guide covers
What the "loss" headline actually means
The figure comes from a repeat-sales study by e.surv Chartered Surveyors for the year to August 2026, reported by The Negotiator. It compares each flat's sale price with what it last sold for. In London, close to four in ten came in lower.
One word matters here: nominal. The study measures the cash price, not the real value after inflation. Many of these flats were bought near the top of the market and held for five to ten years. So the "loss" often reflects timing and tenure, not a broken home.
That is why the same study shows houses holding up far better, and Scotland barely affected. The weakness is concentrated in leasehold flats with specific, nameable problems. Fix those, and you change your own result.
Three questions that decide your sale
Forget the market for a moment. The honest test of your flat is three simple questions. Buyers and their lenders ask exactly these, so you should too.
How long is left on your lease?
To begin with, most London flats are leasehold. Once the lease drops toward 85 years, buyers grow nervous and mortgages get harder. As a result, a short lease is the single biggest value-killer, yet it is also one you can act on.
How high are the service charges?
In practice, buyers now add the annual charge to the mortgage in their heads. A steep or rising charge shrinks what they will offer. By contrast, clear and well-explained accounts build trust.
Is the safety paperwork in order?
Since 2017, lenders want proof a block is safe, including an EWS1 form where it applies. Missing documents are a common reason a flat sale stalls. In order, they barely register.
Your pre-sale action plan
Good news follows from those questions. Each weak spot has a fix, and the fixes are best done before you list, not halfway through a nervous sale.
Deal with the lease first
First, count the years left today. If the lease is getting short, get advice on extending it before you market the flat. As a result, a longer lease opens the door to more buyers and more lenders.
Assemble a buyer-ready pack
Next, gather the lease, recent service charge accounts, and any safety certificates in one place. Then, when a buyer asks, a quick and confident answer keeps momentum and nerves in check.
Fix the small stuff
Finally, fresh paint, working fittings, and a tidy communal entrance cost little. Yet they shift how a flat feels, and feeling drives offers more than people admit.
Selling a flat in London without taking a hit
Preparation sets the stage. Pricing and marketing then decide the result. Here is where a sale is quietly won or lost.
Start with an honest price, anchored to what similar flats nearby actually sold for, not to the peak you remember. A realistic figure pulls in genuine buyers early, while an inflated one tends to force a bigger cut later. That late cut is what truly feels like a loss.
Then lean on a local agent who sells your type of flat week in, week out. Selling a flat in London well is about presenting its strengths and answering hard questions with confidence. In a sought-after patch like East London, the right pitch to the right buyer makes a real difference.
What it means for your timing
Timing matters less than preparation, but it is fair to ask. Demand could soon firm up, because the government has confirmed a new "Your First Home" equity-loan scheme for the Autumn Budget. Many first-time buyers want flats, so more of them in the market can only help.
Still, the month you choose rarely beats the state of your flat. If you want the wider view on market conditions, our guide on whether now is a good time to buy or sell digs into that. For a flat, though, lease and paperwork come first.
How Homefinders helps flat sellers
In fact, we have sold flats across Hackney and East London since 1988, in good markets and tough ones. So we know how a London flat should be positioned, and which buyer questions to get ahead of.
Our team opens with a straight valuation, not a flattering one to win your business. From there, we guide you on lease, paperwork, and presentation, and we can bring conveyancing and financial advice under one roof. You can also browse our current listings to see how we market flats like yours.
| Value factor | Why buyers care | Your move |
|---|---|---|
| Lease length | Short leases are hard to mortgage | Check the term; extend early if needed |
| Service charges | They cut into what buyers can afford | Have clear accounts ready to share |
| Building safety | Lenders need proof a block is safe | Collect safety paperwork, EWS1 if it applies |
| Asking price | Overpricing stalls, then forces cuts | Price to recent local sales |
See exactly where your flat stands
Book a free, no-obligation valuation with our East London sales team and sell with a clear plan.
Frequently asked questions
Understanding the headline
Are London flats really selling at a loss?
Some are. e.surv found nearly four in ten London flats resold for less than their previous price in the year to August 2026. It is a nominal, cash-terms figure, though, and it reflects timing and leasehold issues rather than every flat losing value.
Why are flats affected more than houses?
Flats are usually leasehold, so they carry lease, service charge, and building safety concerns that houses do not. These issues worry buyers and lenders, which is why flats and houses have drifted apart since around 2017.
Selling a flat in London the smart way
How do I stop my flat selling at a loss?
Tackle the lease, service charge accounts, and safety paperwork before you list. Then price to recent local sales and use an experienced local agent. Preparation and realistic pricing are what keep a sale on the right side of the figures.
Does a short lease really lower the price?
Yes. As a lease falls below about 85 years, a flat becomes harder to mortgage and cheaper to buy. Extending the lease before you sell usually widens your buyer pool and protects your price.
What is an EWS1 form, and do I need one?
An EWS1 form records the fire safety of a building's external walls. Lenders may ask for one on flats in larger blocks before offering a mortgage. If it applies to your block, having it ready can stop a sale from stalling.
Should I wait for the market to improve?
For a flat, preparation usually beats timing. A new government buyer scheme may lift demand, but sorting your lease and paperwork tends to matter more than the month you list. A local valuation will show where you stand.