Homes near stadiums rise in value

Olympic stadiumHomes near Premier League football clubs kicking off the new season this weekend have increased in value at a faster rate over the last decade than house prices generally, a study has revealed.

House prices in the postal districts of the 20 clubs increased by 137%, or £209,975, on average over 10 years, compared with a 90% rise across England and Wales, according to Halifax.
Prices close to the stadium of league champions Manchester City saw by far the biggest increase. Homes within the postal district of Etihad Stadium soared by an average of 271%, almost double the rise in prices close to Aston Villa's ground, the second best-performing Premier League postal district.

Sunderland recorded the third biggest rise, followed by Swansea City. Newcastle United finished bottom of the house price table, with the value of nearby properties dropping by 7% since 2002, the study showed.

Homes close to Premier League grounds were worth £362,866 on average by 2012, rising in value by around £404 a week since 2002 to reach almost 11 times gross average annual earnings. This compares with a typical house price of £229,735 across England and Wales.

Despite the sluggish housing market of recent years generally, prices in Premier League postal districts rose by an average of 1.3% over the past year, in sharp contrast to a 2.7% fall seen across England and Wales.

The London postal district of SW6, home to both Chelsea and Fulham football clubs, is the least affordable Premier League district with an average property price of £749,530, around 14 times average earnings.

Postal district L4, home to Liverpool and Everton football clubs, has property which is most within reach of people's budgets. The cost of a typical home there is just over double gross annual earnings.

Halifax said that four of the five Premier League postal districts with the biggest house price increases are home to stadiums built in the last 15 years. Four of the six districts that saw the smallest house price growth over the same period have stadiums that were opened before the Second World War.

Martin Ellis, housing economist at Halifax, said: "House prices close to the nation's most iconic football stadiums have risen substantially over the past decade, particularly in the areas near to some of the newest venues. This partly reflects the local regeneration that typically takes place alongside the building of modern sporting arenas, including improved transport links."

© 2012 Press Association
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