Camden Property Investment: Best Buy-to-Let Areas 2025
Where quiet Victorian streets meet modern London energy, Camden presents one of the capital's most intriguing property markets. This North London borough spans everything from Camden Market's bustling energy to Hampstead Heath's oasis of calm.
Creating a property market where a £650,000 flat in Kentish Town sits just miles from a £3 million+ house in Hampstead. Two very different opportunities for resident home buyers and buy-to-let landlords.
Recent price drops of 3.6% to 6.5% across these postcodes suggest something significant is shifting. After years of prices climbing beyond what even high earners could justify, the market is finding more sustainable levels. For investors with serious capital, this correction potentially creates opportunities that haven't existed since the early 2010s.
What makes Camden compelling isn't just the Northern Line convenience or cultural attractions. It's how these neighbourhoods maintain their character and attract every type of resident, young to old and those starting their professional career to winding down for retirement.
This analysis examines which Camden postcodes offer the best balance of opportunity, rental stability, and potential long-term value.
Article updated: June 2025. Next update: September 2025.
Camden Buy-to-Let Market Overview 2025
Camden's property market operates within London's premium tier, where prime residences and addresses command substantial premiums over typical investment metrics. The borough reveals dramatic variation across its postcodes, with NW3 (Hampstead) representing established wealth preservation while NW5 (Kentish Town) offers the most accessible entry to Camden's housing market
- Asking property prices: £666,030 (NW5) to £1,367,562 (NW3)
- Rental yields: 2.6% to 4.8% across different postcodes
- Rental income: Weekly rents from £615 to £750 (monthly: £2,665 to £3,250)
- Price per sq ft: Premium spatial costs from £915/sq ft to £1,090/sq ft
- Affordability: Property prices range from 12.86 to 26.41 times local annual salaries
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by Robert Jones, Founder of Property Investments UK
With two decades in UK property, Rob has been investing in buy-to-let since 2005, and uses property data to develop tools for property market analysis.
Property Data Sources
Our location guide relies on diverse, authoritative datasets including:
- HM Land Registry UK House Price Index
- Ministry of Housing, Communities and Local Government
- Government Planning and Housing Data
- Propertydata.co.uk
We update our property data quarterly to ensure accuracy. Last update: June 2025. Next update: September 2025. All data is presented as provided by our sources without adjustments or amendments.
Why Invest in Camden?
Camden is a very different option when it comes to London property investment. You are not going to find the affordable prices of outer boroughs, but there's something interesting happening here that makes it worth considering.
In a City whose population has been growing year on year, Camden interestingly has seen a population reduction, this is significantly notable when compared to the average population growth across the rest of London.
The total population of Camden was 210,100 (as of the last UK government census in 2021) and it's population has decreased by 4.6%, declining from 220,300 in 2011.
This has been paired with a recent house price correction having for many years seen run away growth. Affordability is stretched in Camden with high house prices and if you believe population will continue to decline this could see a continued reduction in house prices and more affordable options for local residents.
However, significant local development as seen by planning proposals, seems to indicate otherwise. A population surge therefore could likely have the opposite effect, and a few years of negative growth could easily reverse and push prices higher to new levels.
There is no crystal ball on what will happen in the future, however historic prices do seem correlated to population increases and decreases in the most recent data, so a belief in which way you think population will flow in Camden could indicate the direction of house prices.
The borough of Camden includes notable London neighbourhoods of Camden Town, Hampstead, Kentish Town, Bloomsbury, Fitzrovia, King's Cross, Swiss Cottage and Gospel Oak.
The borough is covered by the main postcodes: NW1, NW3 and NW5
With additional postcodes that cross other local London Boroughs including:
- NW6 crosses Camden, Brent and Westminster
- NW7 crosses Camden and Islington
- WC1 crosses Camden and Westminster
Camden Property Market Analysis
When Was the Last House Price Crash in Camden?
The last significant property price crash in Camden occurred during the global financial crisis of 2008-2010, with smaller corrections in late 2019, 2022-2023 and again in 2025.
Source: HM Land Registry House Price Index for Camden
Looking at Camden's historical property data trajectory:
- 1995-2000: Steady appreciation with annual increases up to 24%%
- 2000-2004: Explosive growth with peaks reaching 40% annual increases during the early 2000s boom
- 2004-2007: Sustained premium expansion as Camden established as a premium London borough
- 2008-2010: Sharp correction during financial crisis, with values dropping approximately 15-20%
- 2010-2014: Gradual recovery supported by transport improvements and cultural regeneration
- 2014-2018: Strong growth period reaching 15-20% annual increases
- 2018-2025: Staggered growth with small corrections
The current correction (slightly reduced house prices) represents Camden's most stable house prices in over 15 years. Unlike the crisis-driven 2008 crash, this correction reflects affordability constraints where even high-earning households find Camden prices unsustainable. The consistency across property types from detached houses (-5.0%) to flats (-4.5%), suggests simply a balancing rather than a major downturn, especially as transaction volumes of sales are also steady
House Prices in Camden: Sold (£)
The latest sold house price index by the Land Registry, shows the following average sold house prices across the London Borough of Camden.
While detached houses in Camden command extraordinary premiums at 179.9% above the London average, semi-detached houses similarly reflect the borough's premium positioning at 169.7% above typical London prices.
Even Terraced houses in Camden represent substantial premiums at 124.0% above London averages, while flats and maisonettes offer the most accessible entry point, though still 47.5% above typical London prices.
With average detached house prices at £3,195,659, Camden clearly serves established wealth rather than conventional property ladders. The most accessible option remains the apartment / flat market at £651,683, though this still represents significant financial commitment. Combined with modest rental yields around 3-5%, Camden appeals to investors prioritising long-term capital preservation over immediate cash flow.
For investors ticking of their requirements of growth potential, yield and tenant demand in their investment property checklist, these figures show they might have to sacrifice yield expectations in return for a property address in a highly sought after postcode. When you can enter the North London market at a much lower price by considering nearby Barnet and Brent.
Updated June 2025
| Property Type | Camden Average Price | London Average | Difference |
|---|---|---|---|
| Detached houses | £3,195,659 | £1,142,545 | +179.9% |
| Semi-detached houses | £1,899,441 | £705,187 | +169.7% |
| Terraced houses | £1,408,737 | £629,315 | +124.0% |
| Flats and maisonettes | £651,683 | £441,704 | +47.5% |
| All property types | £781,183 | £555,625 | +40.6% |
Property Data Sources
Our location guide relies on diverse, authoritative datasets including:
- HM Land Registry UK House Price Index
- Ministry of Housing, Communities and Local Government
- Government Planning and Housing Data
- Propertydata.co.uk
We update our property data quarterly to ensure accuracy. Last update: June 2025. Next update: September 2025. All data is presented as provided by our sources without adjustments or amendments.
House Prices in Camden: For Sale Asking Prices (£)
Updated June 2025
The data represents the average asking prices of properties currently listed for sale in Camden.
| Rank | Area | Average House Price |
|---|---|---|
| 1 | NW3 (Hampstead) | £1,367,562 |
| 2 | NW1 (Camden) | £852,211 |
| 3 | NW5 (Kentish Town) | £666,030 |
Camden's asking prices show the financial reality of buying in this well-established London borough. NW3 (Hampstead) leads at £1,367,562 average asking prices, putting homeownership beyond most London households even with above-average earnings. NW1 (Camden Town) follows at £852,211, a substantial amount, though £515,351 less than Hampstead for those wanting Camden Market access and Northern Line convenience. NW5 (Kentish Town) provides the most accessible entry point at £666,030, yet this remains expensive by any UK standard. The £701,532 gap between highest and lowest shows how Camden maintains premium pricing across all its neighbourhoods.When you consider the much closer connection of price per square foot, it's also a clear indication that NW5 has many more options available of entry level properties like one bedroom apartments, compared to the larger family homes in the NW3 postcode district. For buyers, even Kentish Town therefore requires roughly £200,000 average deposits under typical lending criteria, meaning Camden attracts investors and those with family financial support rather than standard first-time buyers. Remember that these figures represent averages across all property types, from studios to family homes. So specific properties will vary in price depending on size, condition, and exact location within each postcode.
Sold Price Per Square Foot in Camden (£)
Updated June 2025
The data represents the average sold price per square foot of properties actually sold in Camden over the past 18 months.
| Rank | Area | Price Per Square Foot |
|---|---|---|
| 1 | NW3 (Hampstead) | £1,090 |
| 2 | NW1 (Camden) | £958 |
| 3 | NW5 (Kentish Town) | £915 |
Camden's price per square foot figures show the reality of buying space in one of London's most recognised boroughs. NW3 (Hampstead) tops the list at £1,090 per square foot - a figure that puts it among London's most expensive areas. This reflects what buyers pay for Hampstead Heath access and the area's established reputation. NW1 (Camden Town) follows at £958 per square foot, where proximity to Camden Market and the Northern Line justifies the premium despite being £132 less than Hampstead. NW5 (Kentish Town) offers the most space for money at £915 per square foot, though this still represents a substantial outlay compared to most London areas, and may explain the recent price correction and negative house price growth over the past 5 years. The tight £175 spread between highest and lowest shows Camden operates as a consistently premium market across all three postcodes. For investors, these figures highlight the importance of maximising rental income from every square foot, which in turn will continue to put pressure on local affordability and rents. It is a tricky balance, that is constantly stretched with the growing local population. Remember that these figures are averages across all property types, and individual homes may vary based on condition, exact location, and specific features. Period conversions and heritage properties typically command premiums over standard housing stock.
House Price Growth in Camden (%)
Updated June 2025
The data represents the average house price growth over the past five years, calculated using a blended rolling annual comparison of both sold prices and asking prices.
| Rank | Area | 5 Year Growth |
|---|---|---|
| 1 | NW1 (Camden) | -3.6% |
| 2 | NW3 (Hampstead) | -4.7% |
| 3 | NW5 (Kentish Town) | -6.5% |
Camden's recent price trajectory reveals a market in careful recalibration rather than decline. The negative growth across all three postcodes - from NW1's -3.6% to NW5's -6.5% - reflects broader London premium market adjustments rather than fundamental Camden weakness. These corrections follow years of extraordinary growth that pushed prices beyond sustainable levels for many buyers. NW1 (Camden Town) shows the most resilient performance at -3.6%, likely supported by its proximity to Camden Market and established transport links that maintain rental demand. NW3 (Hampstead) at -4.7% demonstrates how even London's most prestigious areas face pricing pressure when properties reach stratospheric levels. NW5 (Kentish Town) with -6.5% decline may represent the market's most compelling opportunity. Where price adjustments create entry points for buyers previously priced out of Camden's distinctive neighbourhoods. For investors, these figures suggest a maturing market where future growth may depend on fundamental value and maybe even simply more affordable options, rather than speculative momentum.
Average Monthly Property Sales in Camden
Updated June 2025
The data represents the average number of residential property sales per month across Camden's postcode districts, based on transactions recorded over the past 3 months.
| Rank | Area | Average Monthly Sales |
|---|---|---|
| 1 | NW3 (Hampstead) | 28 |
| 2 | NW1 (Camden) | 19 |
| 3 | NW5 (Kentish Town) | 12 |
NW3 (including Hampstead) leads with 28 monthly sales despite commanding the highest prices at £1,367,562 average asking prices. This suggests a deep pool of cash-rich buyers who value Hampstead Heath proximity over price considerations. NW1 (including Camden Town) follows with 19 monthly sales, where the £852,211 average price point attracts buyers seeking Camden Market's vibrancy without Hampstead's premium. NW5 (including Kentish Town) shows a much lower 12 monthly sales, reflecting its position as the emerging choice where £666,030 prices offer the most accessible entry to Camden's distinctive character, yet it's clearly not as active or popular as the more affulent postcodes. The sales volumes demonstrate how different buyer segments navigate Camden's price hierarchy. Remember that these figures represent the entire market, including different property types and price points, so individual segments may experience faster or slower sales rates.
Planning Applications in Camden
Updated June 2025
The data represents the average number of planning applications submitted per month in each postcode district, along with the percentage of applications that receive approval.
| Rank | Area | Monthly Applications | Success Rate |
|---|---|---|---|
| 1 | NW1 (Camden) | 95 | 93% |
| 2 | NW5 (Kentish Town) | 33 | 95% |
| 3 | NW3 (Hampstead) | 36 | 90% |
Camden's planning landscape reveals intensive development pressure concentrated around Camden Town itself. NW1 dominates with 95 monthly applications and a 93% success rate, reflecting both commercial activity around Camden Market and residential improvements to Victorian terraces and period conversions. The volume here speaks to Camden Town's ongoing evolution as retail spaces adapt and residents modernise heritage properties. NW5 (Kentish Town) shows the highest approval rate at 95% with 33 monthly applications, suggesting a planning committee comfortable with typical residential improvements in this emerging area. NW3 (Hampstead) maintains a slightly lower (but still impressive) 90% success rate on 36 monthly applications, likely reflecting some stricter oversight in conservation areas where period features must be preserved. For property investors, these figures indicate a council that generally supports appropriate development while maintaining Camden's distinctive character. Remember that these figures represent averages across each postcode, and specific streets or property types may experience different levels of planning activity and success rates.
Property Data Sources
Our location guide relies on diverse, authoritative datasets including:
- HM Land Registry UK House Price Index
- Ministry of Housing, Communities and Local Government
- Government Planning and Housing Data
- Propertydata.co.uk
We update our property data quarterly to ensure accuracy. Last update: June 2025. Next update: September 2025. All data is presented as provided by our sources without adjustments or amendments.
Camden Rental Market Analysis
For those buying their first rental property, and thinking how much can you charge for rent across the London borough of Camden?
The rental data below gives you an indication on the rental income per month and the rental yields landlords can aim to achieve for traditional assured shorthold tenants. This is helpful if you are considering how to build a property portfolio in this area.
Rental Prices in Camden (£)
Updated June 2025
The data represents the average monthly rent for long-let AST properties in Camden. These figures reflect rents across all property types and do not account for differences in property size, number of bedrooms, or short-term lets.
| Rank | Area | Average Weekly Rent | Average Monthly Rent |
|---|---|---|---|
| 1 | NW1 (Camden) | £750 | £3,250 |
| 2 | NW3 (Hampstead) | £691 | £2,994 |
| 3 | NW5 (Kentish Town) | £615 | £2,665 |
Camden's rental market reflects what tenants pay for living in one of London's most recognisable neighbourhoods. NW1 (Camden Town) commands the highest weekly rents at £750, where proximity to Camden Market and the music venues of Camden Lock creates consistent demand from young professionals and creatives. Interestingly, NW3 (Hampstead) sits slightly below at £691 weekly, likely reflecting a short term inbalance of available properties to rent rather than indicating a consistently under priced rental market. NW5 (Kentish Town) emerges as the most accessible option at £615 weekly, yet this still represents substantial rental costs that exceed most London boroughs. The consistent premium across all three postcodes demonstrates Camden's appeal beyond just transport links and it's proximity to the centre of London. These aren't just rental properties; they're addresses that come with Camden's distinctive identity and the Northern Line connectivity. These figures represent average rents across all property types, from studio apartments to larger houses, and actual achievable rents can vary significantly based on property size, condition, and specific location within each postcode.
Gross Rental Yields in Camden (%)
Updated June 2025
The data represents the average gross rental yields across different postcode districts in Camden, calculated using a snapshot of current properties for sale and properties for rent. These figures are based on asking prices.
| Rank | Area | Gross Rental Yield |
|---|---|---|
| 1 | NW5 (Kentish Town) | 4.8% |
| 2 | NW1 (Camden) | 4.6% |
| 3 | NW3 (Hampstead) | 2.6% |
Camden operates in a fundamentally different investment universe compared to London's yield-focused boroughs. NW5 (Kentish Town) leads at 4.8%, offering the borough's most compelling rental returns alongside emerging cultural capital. NW1 (Camden) follows at 4.6%, where authentic London character commands consistent rental demand despite premium pricing. NW3 (Hampstead) delivers 2.6% yields, reflecting its status as a capital preservation play rather than income generation strategy. Remember that these figures represent gross rental yields before accounting for costs such as maintenance, void periods, and management fees.
Access our selection of exclusive, high-yielding, off-market property deals and a personal consultant to guide you through your options.
Is Camden Rent High?
Yes. Camden's rental market creates real financial pressure for most residents, even those earning above London averages.
Local rents consume 61.76% to 75.32% of typical Camden earnings, based on the borough's mean annual income of £51,782.
The heaviest burden falls in NW1 (Camden Town), where £750 weekly rents require 75.32% of average local income. For households relying on one typical Camden salary, this leaves little room for transport, utilities, or other essential costs that make London living viable.
Hampstead (NW3) presents similar challenges despite its established wealth. Current data comparisons of properties on the market to rent show a lower weekly rent than NW1, currently at £691 weekly rents, demanding 69.39% of mean income. This is likely due to the lower number of total comparison properties available, and a larger number of smaller properties at the time of data collection showing a lower 'average rent' which is unusual considering the higher property prices.
Even residents earning well above national averages would find themselves financially stretched unless they own their own home with a low mortgage or zero financing and have 100% equity.
NW5 including Kentish Town offers the most manageable option at £615 weekly, though this still requires 61.76% of local earnings, well above recommended affordability guidelines of 30-35%.
These figures reveal Camden's fundamental market reality. The borough attracts higher earners than most London areas, yet rental costs consistently outpace even elevated local wages.
Most Camden residents and tenants require multiple incomes, family support, or earnings significantly above local averages. This creates a rental market primarily serving established professionals, creative industry workers with supplementary income or wealth, or residents with external financial resources.
For property investors, this might have an appeal as it attracts a wealthy tenant base, however it does require a significant investment to buy in Camden even if you start at the one bedroom apartment rung of the property ladder.
Buy-to-Let Considerations
Are Camden House Prices High?
Yes, compared to the 32 London boroughs, Camden stands as one of London's premium property markets, reflecting it's placement in Zone 2 in London underground stations and it's close proximity to Euston station on the Northern Line.
The borough's average property price of £781,183 sits dramatically 191.2% above the UK average of £268,319, and 40.6% above the London average of £555,625. This positions Camden firmly within London's elite tier, where cultural authenticity commands substantial premiums over typical London property values.
The average asking prices for properties across the borough reveal quiet large neighbourhood contrasts, from the literary prestige of NW3 (Hampstead) at £1,367,562 to the emerging (although still highly priced and sought after) proposition of NW5 (Kentish Town) at £666,030. Even Camden's most accessible area exceeds broader London averages, highlighting the borough's consistent premium positioning.
When examining property types, this culturally resonant borough shows detached homes averaging a significantly priced £3,195,659 (179.9% above London average), semi-detached houses at £1,899,441 (169.7% above London average), terraced properties at £1,408,737 (124.0% above London average), and flats at £651,683 (47.5% above London average).
Clearly out of the reach of the average London resident based on local earnings.
These substantial premiums across all property categories reveal why Camden attracts wealthy homeowners and investors seeking long-term capital appreciation rather than income and pure yield optimisation.
Median annual earnings in Camden are £44,193 (with 6.1% annual change).
Mean annual earnings in Camden are £51,782 (with a 9.0% annual increase).
These earnings significantly exceed both UK and London averages although are clearly still not enough to provide the income to support living in Camden (either as a tenant or homeowner) on one persons 'average' salary alone.
Salary to house price ratios
To afford an average local house, residents face these affordability challenges:
- NW3 (Hampstead) - 26.41 times mean annual salary
- NW1 (Camden) - 16.46 times mean annual salary
- NW5 (Kentish Town) - 12.86 times mean annual salary
On the 'affordable' side of town, for local property buyers on 'mean full-time earnings', purchasing in the most accessible area, NW5 (Kentish Town), still requires 12.86 times annual salary, substantially higher than greater London's typical ratio.
With London's average house price of £555,625 and mean income of £56,752, the typical London buyer needs about 9.79 times their annual salary to buy a property.
Camden you can see therefore isn't your first choice for value or affordability.
The substantial gap between even high local earnings and housing costs demonstrates how Camden's cultural capital creates property values that transcend traditional income-to-price relationships, appealing primarily to investors and buyers seeking London's most distinctive neighbourhoods. Buyers who can afford to buy in cash or place significant deposits when purchasing a home.
How Much Deposit to Buy a House in Camden?
Assuming a 30% deposit for buy-to-let investments, here's an overview of deposit requirements across different Camden postcodes:
- NW1 (including Camden): Investors considering properties in this area (typical value £852,211) would need to prepare a 30% deposit of £255,663.
- NW3 (including Hampstead): Purchasing in this premium area requires a 30% down payment of £410,269 based on median property values of £1,367,562.
- NW5 (including Kentish Town): To secure a home here, landlords should budget for a 30% deposit of £199,809 on properties typically priced around £666,030.
If you're new to property investing or just starting out through a property training course, NW5 including Kentish Town offers the most accessible entry point with lower deposit requirements than other areas in the borough. With solid rental yields of 4.8% and the most affordable average asking prices at £666,030, it represents excellent value for first-time landlords.
How to Invest in Buy-to-Let in Camden
For properties to buy in Camden including:
- Finding off-market properties
- Buy-to-lets
- Buying a Holiday let or investing in serviced accommodation
- HMOs (houses of multiple occupation)
- PBSA (purpose built student accommodation)
- and other high yielding opportunities
We have partnered with the best property investment agents we can find for 8+ years.
Here you can get access to the latest investment property opportunities from our network.
For more information about specific areas:
- If you're interested in the highest rental returns in Camden, consider NW5 (Kentish Town) with yields of 4.8% and NW1 (Camden) at 4.6%
- For an alternative look at the local London housing market, with affordable entry prices, check out our guide to the cheapest areas to live in London.
- For different opportunities further afield, consider exploring buy-to-let in Bath or buy-to-let in Oxford.