A complete WRECK - but still worth £2million

London's property market reaches a new level of absurdity

Fears of a unsustainable property bubble in London have been simmering for the past few months. 

But it seems the market could have reached a boiling point after a two-bedroom home described by an estate agent as "a complete wreck"  still commanded an asking price of £2 million.

The end of terrace home looks like a respectable property from the outside with its classic white Stucco front.

But go behind the green front door and you're met with exposed brickwork, tired floorboards and crumbling plaster.

The estate agency Crayson described it as "Wrecksville" and warned potential buyers that it would cost a fortune to renovate.

With no heating and an overgrown garden the slum requires a complete overhaul (SWNS)

A creative vision - and a lot of money - could bring the home bang up to date (SWNS)

But thanks to its position on the one of the most desirable streets in Kensington, West London, it was put on the market for a couple of million.

This is the same price as a nine-bedroom, Grade II listed home in Somerset on the market with Savills and a collection of 37 properties currently being offered by one business in Manchester.

A two-bedroom home requiring a full restoration in Bristol would set back a buyer around £100,000.

From the front it looks respectable (SWNS)

The garden will need a bit of work too (SWNS)

But - despite the dilapidated property costing around 11 times the price of the average home  in England and Wales - there was no shortage of interest.

The home, on Abingdon Road, is just off Kensington High Street and a stone's throw from Hyde Park and some of London's best-known hotspots. It currently has two bedrooms and three reception rooms.

Crayson described the property as a "complete wreck in one of London's great residential areas and everything to play for".

 "The property represents an epic opportunity to buy a shell, create the perfect space and live somewhere that is actually made for you."

The property is still advertised on the website of Crayson and Zoopla with a 'sold' sign. However, it is understood the owner has now decided to take the property off the market and renovate it themselves.

Last year, 193 houses in Kensington sold for more than £1 million with an average price of £2.87 million, while the average asking price in 'W8' is £5.1 million, according to Zoopla. 

Even a car parking space in the area can sell for £300,000.

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Yahoo Finance UK | Photo by Gareth Fuller/PA Wire
Fri, Jun 28, 2013 17:00 BST