Property

New national parks predicted to boost house prices

Property Reporter
|
17th November 2020
Counrtyside 101

Newly released research from Nationwide Building Society suggests that house prices are likely to see a boost in areas surrounding new national parks created by the government.

The Society found that living in a national park attracts a 20% house price premium over an otherwise identical property elsewhere. This is higher (by 1%) than in August 2019 when the Society last produced its National Parks report. In cash terms, this equates to an extra £45,000 based on the average UK house price.

The boost to house prices isn’t just confined to the national park area. In fact, those living within a 5km (c.3miles) radius of a national park see an average house price premium of 6% (£13,000 cash equivalent).

The table below shows average house prices and the indicative premium in a selection of national parks. Although the Government has yet to announce which areas of England will be designated a national park, it is likely to enhance property prices for homeowners in these areas.

Andrew Harvey, Nationwide’s Senior Economist, said: “National parks are often seen as highly desirable places and indeed creating new ones will undoubtedly benefit the wider environment by helping to preserve some of the country’s most iconic landscapes and the accompanying wildlife.

“However, creating new national parks could also come with a price for an increasing number of home buyers and sellers as our latest analysis suggests that houses in national parks attract a £45,000 premium over similar property elsewhere in the country.”

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