London's prime residential home values rose by an average of 0.9% in the second quarter of 2012, and annual price growth slowed to 6%, as some of the heat has started to come out of the market in the early summer, the latest data from Savills suggests.

Its July 2012 report also shows that overseas buyers have remained committed to the very best central locations, accounting for 58% of buyers in the first half of 2012. Though limited in supply, sales of new build property tailored towards the needs of high net worth overseas buyers have been particularly strong.

In central prime London growth slowed to just 0.4%. But the figure masks a divergence between areas. Prices in Chelsea, Mayfair, Belgravia and Knightsbridge rose by over 1%. Those in Marylebone, Notting Hill, Kensington and Holland Park fell marginally in the quarter.