People seeking to buy a home in one of England’s most picturesque market towns will need to pay a premium of £34,000 compared to neighbouring areas, according to latest research from Lloyds Bank.
House prices in English market towns typically command a premium and have grown, on average, by 31% in the past 10 years to an average price of £273,757, 7.8 times the average gross earnings of all full time workers.
Beaconsfield in South Buckinghamshire – close to the Chiltern Hills and within a 40 minute commute to London – is the most expensive English market town with an average house price of £958,909. Henley-on-Thames in Oxfordshire (£748,001) and Alfresford in Hampshire (£492,645) are the next most expensive market towns in England.
Outside southern England, Lymm is the most expensive market town with an average property value of £355,819.
For homebuyers looking for more affordable market town living, the average price of a market town is much lower in parts of northern England. Ferryhill with an average property value of £93,291 and Crook (£108,603), both in Durham, are the least expensive market towns. Four of the five least expensive market towns surveyed are in Durham.
House prices in market towns across England are, on average, £33,911 (or 14%) higher than their county average.
Beaconsfield (pictured), as well as being the most expensive market town, has the largest house price premium across England, with homes trading at 160% (or £589,808) above the county average, at an average of £958,909.
The horse racing market town of Wetherby has the next highest premium to county house price with an average house price that is double (100%) that of West Yorkshire, at £341,618 against £171,236; in cash terms a premium of £170,383.
Along with Beaconsfield and Wetherby, these towns include Henley on Thames in Oxfordshire (with an average premium of £365,101); followed by Alfresford in Hampshire (£201,195) and Marlborough in Wiltshire (£183,073).
Andy Mason, mortgages director at Lloyds Bank, said: “Market towns continue to be popular with homebuyers looking for a quality of life associated with country living. These locations offer many benefits such as idyllic surroundings, history and wonderful homes without compromising on many other important amenities.
“As a result, the majority of homes in market towns command a significant premium over their neighbouring towns. The most expensive market towns are typically found in the south of England and are a commutable distance from London. More affordable market town homes can be found in the north of England.”
The average house price in market towns across England has risen by £65,559 (or 31%) from £208,197 in 2006 to £273,757 in 2016. This is equivalent to an average rise of £546 per month over the past decade.
Henley-on-Thames, home of the Regatta, had the biggest increase in price over the past decade, where the average price rose by 70% (£308,117) from £439,884 to £748,001. Henley-on-Thames is followed by Beaconsfield (68%, an increase of £389,110) and then the Oxfordshire towns of Didcot (58% increase of £119,235) and Thame (55% an increase of £136,741).