South facing gardens have long been touted as desirable because they typically get the sun for most of the day and are therefore thought to be warmer and brighter, but it appears this isn’t reflected in property prices.
Despite estate agents and property experts espousing the benefits of south facing gardens, they do not attract a premium, new research has found. An analysis of asking prices reveals that homes with south facing gardens carry a mere 0.37% premium compared to properties with north facing gardens.
River views however do carry a higher cost, averaging 9% compared to identical properties located on the same development without this sought after outlook, according to the study commissioned by
Direct Line Home Insurance.
Room with a view
In one London development, a three bedroom property with a river view has an asking price of £850,000, some 42% more than an identically proportioned and designed property elsewhere in the development that costs £600,000.
The research also reveals that in many cities if you live higher in a new development, you pay a significant premium for the privilege. One developer informed researchers they added a £15,000 premium to the asking price for every floor, bringing new meaning to the phrase ‘sky high’ prices.
An apartment on the fourteenth floor of a new London development five minutes from Angel tube station is on the market for £850,000, which is 31% more expensive than an identical property on the third floor.
So a room with a view
does attract a hefty price tag but it doesn't have to be south facing.
