Home buyers in the UK have the opportunity to save nearly £50,000 on average by purchasing a property in a new town, compared to the prices generally seen across the country. According to analysis from major lender Halifax, the average house price in a new town stands at £300,656, significantly lower than the UK average of £346,995.
Over the past thirty years, properties located in new towns have seen a price increase of 441%, slightly below the national average increase of 454%. Some new towns have experienced even more significant property price surges. Crawley in West Sussex leads the list with a staggering 543% increase, followed by Craigavon in Northern Ireland with 524% and Hemel Hempstead in the South East of England with 520%.
The research indicates that home buyers often find properties in new towns to be more affordable compared to the wider region. For example, in Peterlee, County Durham, the average house price is 41% lower than the North East of England average. Similarly, properties in Peterborough cost 27% less on average than the East of England.
New towns have historically played a crucial role in providing additional affordable housing options across the UK, especially after the Second World War. Halifax’s analysis includes areas developed under the New Towns Act 1946 and subsequent legislation. Amanda Bryden, head of Halifax Mortgages, emphasised the importance of affordability and sustainability in new towns, highlighting the potential benefits for both homeowners and first-time buyers.
The research findings are based on data from Halifax’s housing statistics database, using average prices for the twelve months leading up to August each year. The analysis also reveals the top new towns for house price growth, discounts compared to regional prices, and affordability for first-time buyers. These insights provide valuable information for those looking to invest in property in the UK.