Are you considering buying or selling a property in the UK? The location of the residence is an important aspect that should be taken into account. Your home’s location significantly affects the value of your property. Homes in desirable locations typically sell for more money than those in less desirable places. Location not only affects the price but also the demand for the property. Post-pandemic there has been a surge in demand for larger houses and properties with gardens or outside areas, leading to a “race for space” in the real estate market which has had an impact on property values. Book a free valuation with Romans now and stay ahead of the race.

As reported by the UK House Price Index, the North East has had the largest regional home price growth, with a gain of 16.9%, up to April 2021, with an average house price of £144,032. On the other hand, London saw the lowest regional home price rise over that time, at just 3.3%, with an average price of £491,687.

Nonetheless, Why Does Location Affect Pricing?

As the saying goes, “location, location, location” – this is undoubtedly true when it comes to the value of the property. Regional variations exist in terms of the average cost of a home. The highest average property price in the UK is in London, where it is £491,687, while the West Midlands is at £216,973, according to the April House Price Index. The North East has the lowest national average home price at £144,032.

These variations are normal, as supply and demand, average area earnings, the availability of employment, and other variables influence property values. These variations are but one aspect of how location may affect the value of real estate. Several factors are taken into account when determining how much houses cost.

Some Of The Major Considerations are:

Supply and Demand:

If there are more buyers than sellers in the region, the price will probably climb. In April, 82% of all houses listed for sale this year in Newquay had already been sold, indicating a strong seller’s market. Yet, just 18.4% of houses were sold in Birmingham’s city centre, which indicates a buyer’s market.

Schools:

Whether you’re buying or selling, families will be attracted to the area school’s achievements. The standard of local schools can have a huge effect on a property’s worth. Property values are higher in places with strong schools than the regions without good schools. As more parents of school-age children are likely to choose to live in communities with top-notch schools, both demand and property value may rise as a result.

Local Amenities:

Neighbourhood conveniences like stores, eateries, parks, and recreation centres can influence home prices as well. Houses located in neighbourhoods with a wide variety of local amenities tend to be more attractive than those in neighbourhoods with limited amenities. People will frequently pay more to reside in a location where everything they require is close by.

Transport Links:

Homes with good transportation options are in great demand, and those that are adjacent to such options might fetch a higher price. Properties near bus routes, major highways, train or tube stations, and bus stops are often more expensive than those farther away. People’s everyday lives can be significantly impacted by commute times, and properties that are conveniently located near transportation hubs are likely to be more tempting to buyers.

Environmental Factors:

The natural environment can also impact the value of a property. Properties located in areas with pleasant scenery, such as parks, beaches, or mountains, are likely to be more valuable than those in areas without such features.

Properties located in areas with good air quality and low levels of pollution are also likely to be more valuable than those in areas with poor air quality and high levels of pollution. Similarly, if there has been flooding in a region within the previous three years, the value of the properties will be negatively impacted.

Other Factors:

The state of the property, the size of the property, and the age of the property are other elements that might affect property prices. Properties that are kept up and in good shape cost more on average than those that require major repairs. Moreover, larger homes are typically more expensive than smaller ones. Last but not least, modern homes are usually more expensive than older ones.

Going beyond the regional statistics and into the neighbourhoods, Rightmove lists the top 10 places where buyers are looking to buy;

1.Didsbury, Greater Manchester

2.Walthamstow, London

3.Wirral, Merseyside

4.Prestwich, Greater Manchester

5.Horsforth, West Yorkshire

6.Chorlton-cum-Hardy, Greater Manchester

7.West Bridgford, Nottinghamshire

8.Heaton Moor, Greater Manchester

9.Bramhall, Greater Manchester

10.Chiswick, London

House prices in these locations have rocketed as the market boom drives up sales, with Walthamstow experiencing a gain of 116%. When buying a property, it is essential to consider the location carefully and weigh up the different factors that can affect its value. By doing so, you can make an informed decision and ensure that you get the best possible value for your money.