Sunday, 24 January 2021

Parks add premium to prices

NATIONAL parks continue to command a house price premium in the year to September, according to a building society.

Robert Gardner, chief economist of the Nationwide, said: “In recent months we have highlighted how housing preferences have been shifting as a result of the pandemic.

“Our market research suggested that nearly 30 per cent of those considering a move were doing so to access a garden or outdoor space more easily, with 25 per cent looking to get away from the hustle and bustle of urban life.

“Additionally, the Government has recently announced plans to create new national parks in England as part of its
25-year environment plan and this could well provide a boost to house prices in these areas.

“Our research suggests a property located within a national park attracts a 20 per cent premium over an otherwise identical property. This is around £45,000 in cash terms based on the current average UK house price. This is slightly higher than the premium identified in our 2019 research, which was 19 per cent.

“Moreover, the premium is not limited entirely to properties located within the boundaries of a national park. There is also evidence of a ‘fringe benefit’ for properties located close by.

“Properties within 5km of a national park command a six per cent premium compared with those outside of this range.”