Uk house prices
The flat in Clapton was described as an 'exceptionally rare opportunity' for a first time buyerPurplebricks/Zoopla

A flat described as the "cheapest" in London has been sold for £79,000 ($112,000) less than a month after it first went on sale. The studio flat in Clapton, east London, measures at just 75 sq ft, meaning the buyer paid more than £1,000 for each square foot of space.

The property sold for a fraction of the average house price in Clapton's E5 postcode, with properties in the area going for an average £400,000, rising to £450,000 in nearby Hackney.

Online estate agent Purplebricks said the flat was sold after 36 viewings and nine offers. However, only cash offers were considered as building societies and banks were not legally allowed to lend money to purchase the flat because it was too small.

Uk house prices
The average cost of a house in the area is around £400,000Purplebricks/Zoopla

Purplebricks marketed the property as the capital's "least expensive". It added: "This is an exceptionally rare opportunity for a first-time buyer, landlord or commuter seeking a bolt hole to purchase a property in a desirable part of London for the same price as a high-end family car.

"The property has been freshly decorated and benefits from a newly installed period sash window. Saratoga Road is located close to the open green spaces of Millfields Park and popular Chatsworth Road offering an array of cafes, bars and restaurants as well as transport links giving easy access to the City and West End."

Simon Taylor, from Purplebricks, said he "wasn't surprised at all" by the price of the flat due to the location in a trendy area of east London and with easy connections to the capital's central districts and the West End as well as the property's "desirability in a busy market".

According to Rightmove, a similar price of £80,000 could get you a three-bedroom semi-detached house with front and rear gardens and a garage in the Lancashire town of Burnley.