Proximity to a London Overground station increases home value by £90,000
PUBLISHED: 19:12 08 September 2014 | UPDATED: 12:21 02 October 2014
Homes within walking distance of London Overground stations see their value increase by as much as three per cent a year – an average of £18,000 – new research has found.
Since the service was improved and expanded by TfL in 2007, residences that are up to a 10-minute walk away from its 84 stations have seen their value increase £90,000 on average, a total of £80 billion over five years.
The average London home costs £440,000, while a home near an Overground station now costs £580,000 on average.
Johnny Morris, head of research at Hamptons International, said: “As the North London line already existed it hasn’t quite had the same impact as the new lines in South and East London. But the improvements to the service and the addition of these stations to the tube map have certainly attracted new demand.
“Because some of the areas near these markets are very expensive, a good chunk of this new demand has been in the rental market rather than sales.”
While the figures provided by the Hamptons International report are not so clear cut for North London, local estate agents say that the improved line is certainly something that has appeal to potential buyers and adds value.
Simon Edwards, a director at Savills Hampstead said: “The vast improvement to the line has made a big difference, especially near Finchley Road & Frognal and Hampstead Heath stations.
“It’s made what were considered slightly secondary locations much more appealing as it can now be used reliably for commuting.”
Claire Donohue, sales negotiator in the Hampstead branch of Hamptons International, agrees and says that, although people still do not specify they want a property near an Overground station, agents are now far more likely to use proximity to the so-called ‘ginger line’ as a selling point.
She said: “Especially with Hampstead Heath, it’s only two stops to West Hampstead then you can change onto the Jubilee line to Canary Wharf, which is a big selling point for people.”