Sellers add an average of 29% to the asking price of a home with a sea view
Homes with a sea view in seaside towns in Britain have asking prices that are 29% or £68,000 on average higher than other homes in the same area, new research has found.
The highest price premium for a room with a view is in Felixstowe in Suffolk, where a sea view could attract a 57% premium or over £143,000 more, according to the research by property portal Rightmove.
The next highest premium is in Lytham St Annes in Lancashire with a 38% premium for a sea view along with Folkestone in Kent also at 38%, then Penzance in Cornwall at 36% and Bournemouth in Dorset at 35%.
Overall it found that the national average asking price of a home with a sea view is £304,702, compared to £236,070 for a home without one.
For properties with asking prices under £1 million, the most expensive sea views are in Hove where the average is £481,826, while the cheapest is in Morecambe where you can get a home with a sea view for just £144,401.
A breakdown of the analysis shows that in Felixstowe asking prices in the town have gone up by 45% over the past five years, compared to a national average increase of 27%, helped by major investment in the town and along the seafront. There are apartments up for sale on Rightmove by the seafront for over £600,000 and beach huts on Rightmove for just under £20,000.
‘The regeneration of the seafront in recent years and some new luxury developments being built have pushed up house prices here, especially for homes that offer the prestige of a sea view. We’ve sold apartments along the seafront for over £600,000, often to people looking to retire or those wanting to secure one now and use as a holiday home until they retire,’ said Steve Scott, a partner at Scott Beckett Estate Agents in Felixstowe.
‘We’ve had interest from some home-hunters who initially looked at more expensive areas like Southwold, but who now realise they can get more for their money here. The investment in the area has also had a knock on effect on the price of the beach huts, with some going for as much as £35,000,’ he added.
According to Miles Shipside, Rightmove director and housing market analyst, homes in prime positions by the sea are in a virtuous circle as previous owners are likely to have invested more in the property because they could see future potential gains.
‘The local housing markets in these seaside towns around Britain vary significantly, but in all areas those with a sea view offer a financial advantage to home owners looking for a buyer possibly wanting to retire or use as a holiday home. The key is making the most of this in the pictures they use when advertising their home so a prospective buyer can see just how great the views are before they book an appointment,’ he said.
The most expensive towns for properties under £1 million are Hove in East Sussex followed by Broadstairs in Kent. Hove asking prices have been driven up over the past five years by Londoners moving out and commuting in to the capital. Those looking for the cheapest places with a sea view could consider places like Morecambe and Cleethorpes where there are properties available for under £150,000.
‘Often people will visit a town year after year for their staycation before deciding they would like to live there permanently. If it’s totally out of their price range then it’s worth looking at other seaside resorts around the UK that may suit them just as well depending on their requirements, even if it means having to compromise on location,’ shipside explained.
‘Our analysis removed any homes over £1 million so not to drive up the average prices in areas, but if you do take a look at the higher end of the market you’ll find a number of waterside mansions in areas like Sandbanks and Salcombe that are up for sale for millions of pounds, and on the flip side houses in much cheaper resorts that are up for sale for as little as £150,000,’ he added.
