New figures show prices in part of South London jumped by more than 20% last year as more Londoners compromise on a central location in return for more living space.

Prices in Balham outpaced the rest of London in 2014 with 21% annual growth, according to estate agent Marsh & Parsons’ latest London Property Monitor.

Figures show the average Prime London home has risen in value by £95,000 in the past twelve months. But house prices in cheaper Balham have jumped £152,000 over the same period.

Balham, famously lampooned by Peter Sellers as the “Gateway to the South”, where nothing happens apart from the changing of traffic lights, has become one of London’s most in-demand districts in recent years.

Professionals unable to afford areas such as Chelsea or Fulham have flocked to neighbourhoods slightly further out but still well connected to central London and with attractive Victorian or Edwardian housing.