London home buyers are willing to pay almost 10 per cent more on a house in order to live closer to a station, according to Nationwide.
The building society found Londoners are willing to pay a whopping 9.4 per cent premium for a house located 500 metres away from a station.
That amounts to approximately £42,900 based on averages London house prices.
Data shows that – naturally – this premium falls the further away from a station a house is located.
A property located 1,250 metres away commands only a 1.9 per cent premium. At 1,000 metres this increases to 4.1 per cent and at 750 metres the premium rises again to 6.6 per cent.
London homebuyers are willing to pay much more to live closer to their nearest train station – particularly in comparison with inhabitants of Greater Manchester and Glasgow.
Nationwide suggests that “this probably reflects the greater reliance on public transport in the capital, with residents less likely to drive”.
In comparison to London’s 9.4 per cent, a premium for a property 500 metres from a station in Manchester stands at 7.8 per cent, or £12,600.
This falls to 3.8 per cent, or £5,700, for properties 500 metres from a station in Glasgow.
Average London house prices on every Tube line
While Londoners are willing to pay a premium on a home closer to a station, their average house price differs greatly depending on what Tube line they use.
Average house prices in London are most expensive where the nearest station is the Circle line, where the average cost of house is £801,000.
TfL rail serves the least costly homes, at an average cost price of £359,000.
Of the London Underground lines, average house prices are least expensive where the nearest station is on the Metropolitan line, at a £439,000 average.
Nationwide suggests that “this probably reflects that the line stretches towards the outer suburbs, with only a short section in central London.”
London house prices on every Tube line:
|Line||Average House Price|
|Hammersmith and City||£524,000|
|Docklands Light Railway||£505,000|
By Emma Tyrrell
Source: City AM