The coastal town of Salcombe has toppled Sandbanks as Britain’s priciest seaside location to buy a home on average in 2022, analysis suggests.
Located within an area of outstanding natural beauty, Salcombe in Devon swapped places with Sandbanks in Dorset, which was previously named by Halifax as the priciest seaside spot. The bank analysed house price data for the 12 months to December 2022 to make the findings, looking at 209 coastal locations in total.
It found the average house price in Salcombe last year was just over £1.2 million. As well as attracting ramblers, Salcombe’s estuary location also makes it a popular place for activities on the water. At the other end of the spectrum, Greenock in Inverclyde, Scotland, was found to have the lowest average house price of the seaside locations analysed, at £97,608.
Scotland dominated Halifax’s top 10 list of the least expensive seaside locations. Halifax’s study indicated that, in general, the cost of coastal homes across Britain has increased by 56% between 2012 and 2022, from £195,509 to £304,460.
During the early months of the coronavirus pandemic, coastal and rural locations were particularly popular as house hunters embarked on a “race for space”. Many of the most expensive seaside locations were found along the coastline of southern England, in areas popular with second home owners.
Back in 2012, the average house price in Salcombe, at £558,538, was less than half the typical 2022 value. Other locations where house prices have at least doubled over the past decade include Margate and Westgate-on-Sea in Kent. By the end of 2022, a home in Margate cost 109% more, on average, than it did in 2012, rising from £146,276 to £305,191, and the average cost of a property in Westgate-on-Sea doubled, from £154,686 to £308,764.
Kim Kinnaird, mortgages director at Halifax, said: “For many, owning a home by the sea is an aspiration, with coastal living offering beach walks, clean air and other health benefits. But this comes at a price in many locations and Britain’s most expensive seaside spot, Salcombe in Devon, will set buyers back over £1.2 million on average. When we delve deeper into the cost of Britain’s seaside homes, it’s clear that there is a broad spectrum in house prices.
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“Whilst million-pound properties are abundant in the south west of England, in contrast, homes in Greenock in Scotland are valued on average at less than £100,000. Second home ownership undoubtedly plays a role in driving up prices in the most desirable locations. While house prices in any location are driven by factors such as supply and demand and interest rates, there are also socio-economic factors at play. Some of these factors are more acute in Britain’s coastal communities, and many British towns most in need of investment also sit near the shore.”
Halifax used Land Registry data covering England and Wales, in addition to figures from the Registers of Scotland, to make the findings.
Here are Britain’s most expensive locations to buy a seaside home out of the 209 locations analysed, according to Halifax, with the average house price (based on figures for the 12 months to December 2022):
1. Salcombe, Devon, South West, £1,244,025
2. Sandbanks, Dorset, South West, £952,692
3. Aldeburgh, Suffolk, East of England, £794,492
4. Padstow, Cornwall, South West, £790,847
5. Lymington, Hampshire, South East, £663,474
6. Yarmouth, Isle of Wight, South East, £611,816
7. Dartmouth, Devon, South West, £567,985
8. Kingsbridge, Devon, South West, £556,659
9. Wadebridge, Cornwall, South West, £548,669
10. Budleigh Salterton, Devon, South West, £537,681
Here are Britain’s least expensive locations to buy a seaside home out of the 209 locations analysed, according to Halifax, with the average house price (based on figures for the 12 months to December 2022):
1. Greenock, Inverclyde, Scotland, £97,608
2. Girvan, Ayrshire, Scotland, £105,410
3. Millport, Ayrshire, Scotland, £111,381
4. Invergordon, Ross and Cromarty, Scotland £114,962
5. Saltcoats, Ayrshire, Scotland, £116,414
6. Newbiggin-by-the-Sea, Northumberland, North East, £117,663
7. Stranraer, Dumfries and Galloway, Scotland, £117,884
8. Wick, Caithness, Scotland, £124,857
9. Thurso, Caithness, Scotland, £126,716
10. Campbeltown, Argyll and Bute, Scotland, £129,348
And here are the locations with the biggest house price increases between 2012 and 2022, according to Halifax, with the average house price in 2022 followed by the percentage increase:
1. Salcombe, Devon, South West, £1,244,025, 123%
2. Margate, Kent, South East, £305,191, 109%
3. Westgate-on-Sea, Kent, South East, £308,764, 100%
=4. Birchington, Kent, South East, £386,040, 98%
=4. Aldeburgh, Suffolk, East of England, £794,492, 98%
=6. Deal, Kent, South East, £391,325, 97%
=6. Ramsgate, Kent, South East, £307,737, 97%
=6. Yarmouth, Isle of Wight, South East, £611,816, 97%
9. Whitstable, Kent, South East, £483,692, 95%
=10. Padstow, Cornwall, South West, £790,847, 94%
=10. Burnham-On-Crouch, Essex, East of England, £418,609, 94%
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