Property price rise double in east thanks to the Olympics effect

The rise in asking prices for property in London's Olympic boroughs is almost twice that in other parts of the capital.

The sharpest rises were in Newham, where the athletes' village is under construction and where many of the main facilities will be located. Prices there rose by seven per cent year-on-year.

Despite this, the borough remains London's second cheapest — after Barking & Dagenham — with an average asking price of £230,752. The website's analyst, Nigel Lewis, said: "When London first won the Games in 2005, property prices in the area increased sharply. Some thought this would tail off but we're finding that the Olympic effect is having a lasting impact.

"These areas have some of the cheapest property in London but will benefit from a huge investment in infrastructure that will have an impact far beyond the Olympics.

"The closer we get to the Games, the more people are seeing effects such as new rail links and shopping centres which are making these areas more popular and driving up prices."