Proximity to Town Centre Can Increase Property Prices by £82,000

Recent analysis by Yopa, a comprehensive estate agency service, highlights a significant financial advantage for homeowners located near town centres. This proximity can potentially elevate property values substantially, illustrating the continuing importance of location in the housing market.

The Value of Convenience
The research conducted by Yopa shows that properties a short walk from town centres can command an average price premium of £82,280. This figure was derived from comparing the prices of homes currently on the market within easy walking distance of a town centre against the average prices of properties in broader regions across England.

Homes close to local amenities are highly sought after, reflecting the classic property market mantra: “location, location, location.” This desirability translates into a tangible financial benefit, with properties near town centres across England valued on average at £380,025. This is a 27.6% premium over the average regional house price of £297,735.

Regional Variations in Premiums
The premium for town-centre proximity varies significantly across the country. London leads with an astounding average property price of £2,405,712 for homes near highstreets and shopping areas—a 378.6% increase over the city-wide average of £502,690. This stark contrast highlights the extreme value placed on central locations within the capital.

Outside London, the additional cost for living near town centres remains noteworthy but less pronounced. For instance, in Yorkshire & Humber, homes within a short walk of town centres are priced at an average of £248,449, marking a 21.3% premium. The West Midlands and East of England also see considerable premiums of 14.2% and 13.7%, respectively.

Insights
Verona Frankish, CEO of Yopa, shared her insights on the findings: “Homebuyers come to the market with varying requirements, but the vast majority will often value a number of core features and living within close proximity to a good range of amenities is often one of them.”

She further explains the financial dynamics: “As such, homes that are located within a short walk of a town centre command a hefty price premium. It’s also fair to say that the closer to the town centre you search the less you are likely to get for your money, so not only are buyers willing to pay more for the convenience, but they are also paying a premium for a comparably smaller property.”

Frankish advises both buyers and sellers to stay informed: “It’s these kinds of key selling points that sellers need to be aware of when valuing their home, or rather, something that they need to make sure their chosen estate agent is aware of. We would advise all buyers and sellers to research what other similar homes in the same area have sold for in the recent past, therefore giving you a good guide by which to judge your own sale or purchase.”

This analysis by Yopa not only underscores the perennial value of strategic location in real estate but also serves as a practical guide for those looking to buy or sell properties in proximity to town centres.