2015 saw house prices rise by 14% on average in Essex

Last year saw house prices rise by an average of 14% in 2015, ahead of the national house price annual inflation of 5.6%*, according to a new report from Balgores Property Group, leading estate agents in Essex. (*Source: Land Registry House Price Index, December 2015).

Over the last 12 months, house prices have risen consistently across the county with prices in Romford, showing the highest increase, with a leap of 22% year-on-year, followed by Basildon, up by 21%; Chelmsford, up by 17.5%; Brentwood, up by 11.5%; Hornchurch, up by 8.5%; and Upminster, up by 5.5%. 

The average house price in Essex is now standing at £352,143, well above the above the national average of £186,325.

Fig 1 House Prices in Essex 2015 versus 2014 

	2015	2014	Percentage Increase
Basildon	£262,395	£216,856	21%
Brentwood	£379,224	£340,050	11.5%
Chelmsford	£339,200	£288,790	17.5%
Hornchurch	£347,783	£322,344	8.5%
Romford	£296,634	£242,197	22%
Upminister	£487,627	£462,166	5.5%

Martin Gibbon a Fellow of the National Association of Estate Agents and Group Director of Balgores Property Group commented: “House prices have been rising steadily in Essex, as demand has increased.  London property prices are driving home owners out of the City and many of these are choosing to live in Essex, attracted by it affordable accommodation within an easy commute to central London.

“Romford has seen the biggest jump in house prices - leaping 22% over the last 12 months.  Although this is partly down to the Crossrail, there are other factors influencing this price growth. For example, the stamp duty changes and the Government’s Help to Buy scheme has meant that first time buyers can afford properties in Romford, priced between £250,000 and £300,000 and this is driving increased demand.  Typically, first time buyers are purchasing 2-3 bedroomed properties, as they often have young children, or are thinking about starting a family.

“Over the last seven years, we have seen a sizeable price increase in Romford properties close to the station and this trend is likely to continue, until the Crossrail is fully operational in 2019. Currently, Romford offers excellent train links into Central London, as well as the vibrant shopping centre, famous market, good schools and a wide choice of attractive housing from Edwardian to new build properties.

“Chelmsford has seen a sizable leap in house prices – up 17.5% year on year.  The number of applicants has also risen by 42%, as the City continues to attract commuter and professionals, thanks to the redevelopment and investment in the City Centre.  Recently, Chelmsford was crowned one of the top five commuter hotspots, based not only on the average price of a home, but also the length of commute, frequency of trains and the likelihood of getting a seat in the morning.

“The micro market is Chelmsford just keeps growing, with the demand far outstripping supply on both the sales and letting sides of the business. Home buyers are attracted to Chelmsford because it offers professional couples and families affordable property; one of the best shopping centres in Essex; international restaurants, cafes and wine bars; the county’s historic 15^th Century Cathedral; good schools; and great transport into Central London.

“Basildon has also seen a large price hike of 21% and property prices there are catching up with some of the more expensive towns in Essex.  This is partly as a result of massive regeneration of the town and the wide choice of affordable property.  There is a good selection of older, character properties, as well as new housing developments in the area, including Acacia Park in Gloucester Park and Morello Quarter in Cherrydown East, which are attracting young families and professional couples to the town.  Basildon also benefits from the main road links with the A127 and the A13 into London and three railway stations serving the City.

“Homes in Basildon are selling like hot cakes and to cope with the huge demand, we have introduced ‘open house’ where one day, usually on the weekend, we arrange viewing slots to cope with the amount of interested buyers.  This is generating 10-12 buyers for each property.”

For further information, contact your local office or visit www.balgoresproperty.co.uk.