The average asking price for a home in Tower Hamlets has increased by nearly £100,000 within a year.

The data, released by Rightmove, shows an annual change of 18% between October 2014 and October 2015 when the common asking price went from £523,080 to £617,075.

This brings the borough’s housing close to the capital’s average price of a newly-marketed home, which is now £630,050.

The increase in Tower Hamlets has been attributed to an influx of new homes on the market in areas like Canary Wharf and Wapping, and a sudden surge at this time of year.

Rightmove director and housing market analyst Miles Shipside said: “Demand has been dented by stretched affordability and buyers’ sense of true values after years of big price jumps, but while it has taken a few knocks it still remains robust for the right property at the right price.

“With fewer properties coming to market, let alone the right ones at the right price, demand is still not being satisfied in many areas.

“This has restricted potential with gluts of over-supply and helped push prices to a new average all-time high in the capital, driven by rises in the lower and middle sectors of the market.”