There have been reports of a “Waitrose effect” where houses close to this store have increased in value. Some reports suggest that being located close to a Waitrose can increase house prices by as much as £36,000. However, if you own a house close to a Wetherspoons, you may find the impact on house prices isn’t too your liking.
What shapes average house prices in your area?
A mortgage broker reviewed property prices of homes sold in the past year. Houses located within walking distance from a Wetherspoons pub were compared with the average price for local properties. 184 Wetherspoons pubs were considered in the study, and it was found that these homes cost over a quarter less than homes which didn’t.
The study showed that for 86% of locations, houses within walking distance of the leading pub chain held a value less than the local average. In 28 areas, homes near Wetherspoons held an amount of less than 50% of the local average.
Andrew Gorry is the Director of Digital at the company who carried out the study, and he said; “With most Wetherspoons in inner city or town areas, it's unsurprising to see that in the majority of places, houses sold near a Wetherspoons are cheaper than the local average price. More than anything else, this provides an interesting alternative perspective on house valuations.”
McDonald's also correlated with house prices
The same study also examined at house prices close to a McDonalds and found that 88% of homes within walking distance of the popular fast-food chain held an average price that was over 50% than the local average. In Stockport, houses within walking distance of McDonald's were priced at 65% lower than the local average price.
It is likely other factors are setting this price as opposed to a pub or fast-food restaurant. It may be that property prices or rates are initially lower in these areas, which attracts businesses. While the companies cannot be blamed for the prices, it is something that buyers and vendors should consider when it comes to their next move in the housing market.
With convenient transport links to the centre of Manchester, and significant developments taking place, Stockport is the ideal place to buy, live or invest. As Stockport property specialists, we want to ensure you stay in touch with the latest property news. If you are looking for assistance in this area, give Spencer Harvey a call on 0161 480 8888 or send us an email at info@spencerharvey.co.uk. For a free valuation please visit: http://valuation.spencerharvey.co.uk/