Buying a home with a coveted sea view can cost 29% more than those without one, Rightmove’s analysis of properties for sale in seaside towns has found.
The analysis looked at all properties for sale under £1m in seaside towns across mainland Great Britain, and found that the average asking price for a sea view is £304,702, compared to £236,070 for a home without one.
The highest price premium is in Felixstowe on the Suffolk coast with a 57% premium. Overall 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.
Steve Scott, partner at Scott Beckett Estate Agents in Felixstowe, said: “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.
“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.”
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 second highest premium is in Lytham St. Annes in Lancashire with sea views proving to be a factor in sellers asking for a 38% premium.
On average there are just under one in 10 homes in these seaside towns that have a sea view, with this lack of choice helping to drive up the price that sellers can ask for.
The highest proportion can be found in Teignmouth and Paignton, both in Devon, where nearly a third of all properties up for sale offer a sea view.
Rightmove has recently launched a new Keyword Sort feature to make it easier for home hunters to search for specific requirements, with sea view already in the top five most popular keywords.
Miles Shipside, Rightmove director and housing market analyst, said: “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 Great 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.”
The most expensive towns for properties under £1m 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.