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Is £103,000 that expensive? A fairly average apartment round the corner from me sold for $500,000. *pulls out calculator* That is £253,206 in your terms. And I don't even live in a particularly expensive area.
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He quoted a bad area. London is the most expensive city in the world before Tokyo. The most expensive house in the world sold here in Kensington (W8) for over £110,000,000! A Persian tycoon bought it.
If you want a taste of how high London prices can be, just look at this link:
http://www.rightmove.co.uk/rm/action...B901356E75B778
and in the area box, search up 'London'