Waterfront property in demand as buyers weigh quality of life during Covid pandemic
It’s not just greenery and outdoor space that are in high demand since lockdown, waterfront properties have confirmed their appeal as people seek to transform their lifestyles.
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UK properties located near water are worth an average of 46% more than homes located further away, Knight Frank’s latest Waterfront Index shows.
Since May, demand for UK property has been driven by both pent-up demand created during the lockdown and several years of political uncertainty, as well as people’s subsequent pursuit of more space.
“The UK lockdown provided people with plenty of time to think about their current lifestyles and reassess where they want to live. It is no surprise that waterfront living, in keeping with people’s desire for more space and greenery, remains in such high demand,” said Chris Druce, senior research analyst, Knight Frank.
Despite a period that spanned the eight-week shutdown of the property market in England, the price of a waterfront property increased 1.4% in the twelve months to June 2020. This compares with growth of 0.2% in the Country House market during the same period.
The biggest waterfront premium is for homes around an estuary. They are valued at 69% more than comparative properties located approximately a mile from the water, and prices rose by 2.9% in the twelve-months to June 2020.
Coastal and harbour properties had an average premium of 57% and 58% respectively, compared to homes located further inland. Coastal prices increased 3.2% over the same period and harbour properties rose by an average of 9.8%.
“Following lockdown, quality of life and lifestyle have become even more important parts of people’s life choices. That’s led to huge interest in country and waterfront living,” said Christopher Bailey, head of waterfront at Knight Frank.
Web searches for coastal and seaside properties increased 171% between 28 March and 29 August, compared with 131% over the same period in 2019 and 49% in 2018.
Rural and more suburban markets have been particularly busy since restrictions were lifted, and UK exchanges (outside London) were 60% higher than the five-year average in the week ending 29 August.
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