Homebuyers in London could save more than half the cost of a property by swapping bricks and mortar for life on the water, according to new analysis by estate agency Benham and Reeves.
The study compared average houseboat prices across the capital with residential property values in the same postcode areas, revealing that the typical houseboat costs £245,371 – around 56.7% less than the London-wide average house price of £566,614. That’s a potential saving of more than £321,000.
The most dramatic discounts are found in some of the capital’s most desirable postcodes.
In SW10, which includes parts of Chelsea, a houseboat costs an average of £193,000, compared to £1.19 million for a conventional home – an 83.8% saving. In NW8, covering St John’s Wood, buyers could pay just £140,000 for a houseboat, 88.3% less than the area’s average house price of nearly £1.2 million.
STANDOUT LOCATIONS
Other standout locations include SW6 (Fulham), where houseboats are 82.7% cheaper than traditional homes, and N1 (Islington), where they offer an 82.2% discount. In KT8, which covers East Molesey near Hampton Court, the typical houseboat price is £140,000 – 83.1% lower than the local average of £828,426 for standard properties.
Even in central neighbourhoods, floating homes offer steep discounts. In Hammersmith (W6), houseboats are 76.7% cheaper, and in Maida Vale (W9), buyers could save 36.7% by opting for life afloat.
PREMIUM DEMAND
The only postcode where houseboats command a premium is TW7 in Isleworth, where the average price of £495,000 is 10.2% above the area’s standard house price of £449,119. This anomaly is likely driven by the limited supply of moorings and the desirability of riverside locations.
While houseboats come with different considerations – such as mooring fees, maintenance costs, and lifestyle constraints – they offer a clear financial advantage in a housing market where affordability continues to be a major challenge.
For buyers willing to embrace a more unconventional living arrangement, London’s waterways could represent an attractive alternative to traditional homeownership.
LIFE ON THE WATER
Marc von Grundherr, Director of Benham and Reeves, says: “While a houseboat won’t be for everyone, Londoners looking for a more affordable way to get on the property ladder might want to consider life on the water.
“With houseboats costing, on average, less than half the price of a typical London home, it’s an alternative lifestyle that can deliver serious savings.
“Of course, buyers need to factor in mooring fees, maintenance, and lifestyle fit, but for the right person, this could be a smart and cost-effective route into homeownership, particularly in some of the capital’s most exclusive postcodes.”
