Average price of a flat goes up - but we still prefer to buy a terrace
PUBLISHED: 17:20 22 May 2018 | UPDATED: 17:20 22 May 2018
The average price of a flat in the UK has risen by £75,074 over the last five years, equivalent to £1,251 per month, according to new research.
Despite their popularity dipping, accounting for just 15 per cent of all homes sold, apartments have gone up in value on average from £157,061 in 2013 to £232,135 in 2018, research from the Halifax shows.
And despite six in every 10 property sales last year nationally being either terraced or semi-detached properties, apartments have increased in value by 48 per cent, compared to 39 per cent for all property types over the same period.
Meanwhile, the good old terraced home has seen its average price rise by £60,482 or 41 per cent but in East Anglia saw the biggest increase in value over the five years of 62 per cent.
Detached homes recorded an increase of £73,638, although this is the smallest increase in percentage terms at 27 per cent.
The figures come as Norwich is seeing a real upward trend in apartment living with numerous schemes underway.
Richard Aldous, head of new homes at Savills, which recently launched 26 high end city apartments priced from £170,000 to £600,000 at Conisford Court on Rose Lane, said: “It beats the drive time for a start - cutting your drive in and out of the city is, for many people, a real motivation to live in the city now. Although historically, it’s not as easy to add value to a flat as it is a house where you can adapt the garden or extend, the change in lifestyle with more people wanting to live in an apartment is driving up the prices.”
Samuel Le Good, at abbotFox, currently selling three major apartment schemes in the city including Sentinel House, a former Aviva office block, with 199 flats being created priced from £99,950, said: “Some people are buying apartments to retire to in the future, letting them out now, others want somewhere for when they stay in the city and put them on Airbnb, there are investors and first time buyers - apartments suit all people of all ages and that’s the enormous appeal.”
Marc Langdon, partner at Bidwells New Homes in Norwich, said there were more younger buyers because of the growth in the professional technical sector. “We have seen more jobs and a younger demographic with money who want to live that cosmopolitan lifestyle.” He added there were just 11 apartments left to sell from the 66 at the Bridge apartment complex on Wherry Road in the city.
Clive Hedges, a partner at Arnolds Keys, selling Eastgate House in Norwich with 47 apartments priced from £125,000-£245,000, said: “The standard of flats, which we now call apartments, has gone up, they are more contemporary and some come with more additional services and that’s what’s making them more expensive. With apartments, you are buying into a lifestyle, with an older property, you are making that lifestyle.”
However, the Halifax report published yesterday showed terraced properties remain the most popular home for first time buyers and continue to be, overall, the most affordable property type in the UK with an average price of £208,311, followed by semi-detached houses at £225,123.
Interested in buying an apartment in Norwich? See the EDP’s special section City Living in Friday’s Homes.