Michael - that does look like a bargain 3 bedroom flat for the price! Don't think it compares at all with the flats they are proposing in FHC, but gives something to think about. And with the greatest respect for the auctioneers of the studio they are publishing a guide price to attract - not the price they expect (even for that place!).

I rent in Forest Hill and really love the area and would want to buy here. Personally I haven't seen the advertised prices fall very much in FH over the past 12 months. I agree people can put in a good discounted offer for a place, but best to wait 5-6 months yet. It's just there is nothing shifting! I doubt there are many people who will sell unless they really have too in the current market. I predict Autumn for prices to level off.

Just as a point - I have no intention of having a family in the next few years, like 100,000's of other Londoners so there is definitely a market for 1 beds. I think there is fundamentally a limit on how low prices can fall on any properties in an area with a nice vibe that are so close to Central London, and with a position on the tube map in 2010.

Also, dare I say I quite like looking at the slow progress on FCH each morning from the train platform!