The tiny home with the huge price tag

Tiny London home
The Britten St property is next to a park (Douglas & Gordon)

It's no secret housing is a contentious topic in New Zealand, but one home in London is giving the Auckland market a run for its money.

One of the smallest places on offer in central Chelsea is for sale for the first time in 50 years for a cool £600,000 (NZ$1,034,000).

It's only a third of the average house price in the city, but the pint-sized pad is a meagre 26 square metres and boasts one bedroom, a bathroom and a wee kitchen. 

Tiny home floor plan
The home's floor plan (Douglas & Gordon)

Vendors Douglas & Gordon say they don't think the cost will stop anyone from nabbing this "proper Chelsea gem".

The rundown property needs a full renovation but it's a steal, the vendors think, boasting that the lucky buyer will get to customise the place to their liking.

The Britten St kitchen
The kitchen in the Britten St home (Douglas & Gordon).

However, the forecast for the housing market doesn't look too good for buyers in Chelsea; price growth is expected to climb three percent annually until 2020, according to number crunching done by real estate giant Savills. 

With those predictions, this Britten St pad would set you back an extra $95,880 in 2020, so pack up your tiny couches and get settled in while you can.