MPs have slammed Britain’s broken housing market after a tiny Knightsbridge flat without a bedroom or bathroom went on sale for £150,000.
The apartment overlooks London’s world-famous Harrods and Hyde Park in one of the capital’s poshest areas where homes fetch an average £3.3million.
But at 89sqft (8.3sqm) and with just one room, the listing has been blasted as “outrgaeous” by politicians.
Regulations were changed in 2011 to ban property developers from building homes smaller than 400sqft (37sqm).
But because the flat was first leased in 1976, it’s not technically breaking any current laws.
Thangam Debbonaire, Labour’s shadow housing secretary, told the Daily Telegraph : “This outrageous advert is evidence of a broken housing market and shows why we need more truly affordable homes.”
Housing agents Knight Frank have insisted the property complies with “all relevant regulations,” adding that it comes with hot water and heating included in the service charge.
Advertised as a “blank canvas” easy to adapt to a buyer’s taste, the “self-contained” one-room flat sits on the eighth floor of a residential block in Princes Court.
The flat is going to auction on March 31 with a guiding price of £150,000 and sits in a building which is itself currently undergoing major renovation.
For the same price, a homebuyer could get a spacious two-bedroom house with a garden in Portsmouth, Chorley or Loughborough.
It comes after Chancellor Rishi Sunak earlier this month claimed that a phased end to the stamp duty holiday and a government guarantee for 95% mortgages will lead to “generation buy”.
From July 1, the nil rate stamp duty band will reduce to £250,000, until September 30.
Sunak claimed the stamp duty holiday helped “hundreds of thousands” buy a home despite criticism that the Treasury’s move could risk inflating house prices further.
Property prices across the UK are expected to increase by 4% this year, according to Savills.
Savills, which previously warned of zero house price growth in 2021, suggested the average price is now set to increase by £10,000 over the next 12 months.
By the end of 2025, the group says it expects house prices to have increased by just over a fifth, with the North West of England and Yorkshire and the Humber leading the way with 28%