How much it Costs to Live at the Top of a Local Housing Market
Average house prices are all well and good, but they do not necessarily give an accurate indication of how much you can expect to pay for a home. Even when narrowing things down to city-wide averages, there are enormous disparities from one postcode to the next.
Over the past year, average property prices in England have skyrocketed more than 13%. Thousands of prospective first-time buyers have found themselves priced completely out of the market, even with the reintroduction of the 95% LTV mortgage.
There are still affordable properties to be found, but price differences from one local ward to the next continue to raise eyebrows.
The most expensive city in England to buy a home is London; purchasing a property in London will currently set you back for around £510,000 on average. This is a snip compared to the average property price of £2.5 million in Belgravia and £3 million in Knightsbridge.
Heading north, average property prices in Birmingham currently stand at just over £208,000. Journey to the neighborhood of Sutton Four Oaks and this will increase to £520,000 which is 250% higher than the city-wide average.
It is a similar story in Bradford, where the city’s average property price currently stands at a fairly reasonable £149,798, whereas around 10 miles from the city centre in Ilkley house prices are now averaging more than £372,000.
Homebuyers looking to purchase properties in Newcastle will be looking at an average house price of just under £173,000, though could end up paying an average of £380,000 in more expensive parts of the city like Gosforth.
The figures were revealed in a new report published by Keller Williams, within which the company emphasized the potential benefits of buying into one of the country’s prestigious and expensive wards.
“The housing market has taken off and demand is pushing prices through the roof. Industry commentators keep predicting a sudden drop as demand lightens or at least evens out, but the truth is this is unlikely. The market will be as lively in a year’s time as it is now,” commented Ben Taylor, CEO of Keller Williams.
“But even if prices do drop slightly, these pinnacles of the UK property market will continue to command the highest house prices in their respective cities,”
“The reason many of these wards are so expensive is that they offer rarified properties – large, spacious houses with good gardens; or tranquil, luxurious corners of otherwise frantic metropolitan areas. There will always be demand for these types of homes, as well as buyers with money to buy them. Especially when you factor in the foreign investor interest that our cities attract,”
“If you’re lucky enough to be able to afford a step up into one of these wards, you can be sure that your financial stake will be well protected.”