In the same time it takes to complete the average three-year degree course, properties across 65 university towns across the UK have recorded an increase in average house price of 22.5% (£38,666). According to new research from Halifax, the top 10 university towns with the largest price growth are all located in southern England. Guildford, […]
In the same time it takes to complete the average three-year degree course, properties across 65 university towns across the UK have recorded an increase in average house price of 22.5% (£38,666).
According to new research from Halifax, the top 10 university towns with the largest price growth are all located in southern England.
Guildford, home to the University of Surrey, saw the biggest price growth, with average values going up by £105,362. It is also the most expensive university town, with an average house price of £511,673.
The next most expensive is Winchester with an average house price of £458,228, followed up by Uxbridge where Brunel University is located, (£441,273), Oxford (£424,258) and Cambridge (£397,170).
The greatest percentage increase was in Bedfordshire, where house prices increased by 42% from to £284,707 in the last three years. This is followed by Coventry, where the average price has grown from £154,573 to £207,974 – an increase of 35%.
The least expensive student town is Paisley which has the University of the West of Scotland with an average price of £122,681 – about quarter of average price in Guildford. Others include Bradford (£127,643), Hull (£134,938), Sunderland (£138,548) and Middlesbrough (£142,412).
Russell Galley, managing director of Halifax Community Bank, said: “While it is well documented that the student housing market can be lucrative for private landlords receiving monthly rental incomes, this research also indicates the potential earnings from bricks and mortar alone.
“Over the last three years, parents who bought a property for their child to live in while undertaking their studies, could have seen an average gain of 22% on the value of the property. They may also have benefitted from rental income from housemates or flat-sharers.”
Over the past five years growth in house price value has been even more significant, averaging £57,883 (38%) across the 65 university towns and peaking as high as 74% in Hatfield.
Since 2012, another eight university towns have seen at least a £100,000 increase in average house price including Cambridge, where the average price increased from £244,509 to £397,170, a rise of £152,662, Uxbridge (£141,171), Oxford (£138,705) and Reading (£137,626).
Top 10 best performing university towns by house price growth since 2014
| University Town | Average house price 2014 | Average house price 2017 | Three-year % Change | Three-year £ change |
| Guildford | £406,310 | £511,673 | 26% | £105,362 |
| Uxbridge | £339,213 | £441,273 | 30% | £102,061 |
| Hatfield | £305,658 | £394,487 | 29% | £88,829 |
| Bath | £297,216 | £384,386 | 29% | £87,169 |
| Bedfordshire | £200,086 | £284,707 | 42% | £84,621 |
| Cambridge | £314,492 | £397,170 | 26% | £82,678 |
| Reading | £306,865 | £385,338 | 26% | £78,473 |
| Oxford | £348,003 | £424,258 | 22% | £76,255 |
| Brighton | £286,814 | £362,618 | 26% | £75,804 |
| Chelmsford | £260,291 | £334,808 | 29% | £74,517 |
| Average | £172,179 | £210,845 | 22% | £38,666 |
Source: Halifax, 12 months to July
