The average London house price London is now £484,700, according to research from estate agents Jackson-Stops & Staff.
The figure is now more than twice the national average of £216,750, according to the figures.
The estate agents say that 93 per cent of London properties are sold for more than £200,000.
The firm adds that all houses at £120,000 will vanish from the capital this year, while those valued at less than £150,000 are likely to disappear from the market by 2020.
Jackson-Stops & Staff expects London house prices to stay high over the next 12 months.
The company expects any weakness at the very top end of the market to be compensated for by activity and price increases at the mid-to-lower end.
Jackson-Stops & Staff head of research Robert Butterworth says: “Our research highlights the incredible changes in the London property market over the last 20 years. Back in 1995 homes valued under £200,000 made up the majority of the market profile, but today they are an endangered species.
“The entire profile of the market has been flipped on its head – a seismic shift that even a betting man would not have put his money on.”