So, you’ve looked around your local area for a place to live, but everywhere is out of your price range. You might be considering moving farther away to take advantage of house prices in other areas. But what goes into a house price, can how can you be sure you’re getting the best deal?
In this blogpost we’ll be discussing these topics to help you work out what’s best for you.
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What makes a house price?
House price is affected by a lot of things, but the main thing is demand. This is, of course, how the free market works: As demand rises and supply diminishes, prices go up. As supply rises and demand diminishes, prices go down.
This is as true of housing as anything else you can buy. The higher the demand for housing, the more the prices go up.
But what drives housing demand? The short answer is “Just about anything!” The long answer is that from how close the house is to major transport links to the school catchment areas the home falls inside, a house price will be based on whatever makes it desirable. And desire is measured by the number of people vying for properties.
What’s more, houses closer to more lucrative jobs are going to be more expensive. Firstly because people with lucrative jobs can afford to pay more for a house. Secondly, because houses near lucrative jobs are likely to be in high demand.
If you’ve been renting or living with family in the same area for most of your life, it can seem intimidating to consider the prospect of moving to another town or even another city entirely. In Britain, accents change noticeably on average every twenty-five miles. In London alone, everything can differ wildly from borough to borough – from rubbish collection services to the kind of healthcare you can receive!
However, moving away has its benefits. Other places might have better job opportunities than the city where you currently live. What’s more, house prices range widely across the country. In some areas of Buckinghamshire, houses can go for more than £1m. In County Durham in the North East, houses can go for as little as £25,000.
If this sounds appealing to you, then it might be something to think about. You might also do well to consider the potential downsides. Moving away means leaving your friends and family at home behind, and while there will be opportunities to see each other here and there, you will be more or less starting off from scratch. You’ll also need to get used to travelling in the new place, whether it be the roads or public transport.
If you’re from London, you’ll definitely need to get used to the fact that buses in much of the rest of Britain don’t run all that efficiently!
Staying closer to home
If you really don’t want to leave your local area, then you will of course have to consider the financial implications of that. You may find yourself waiting longer to buy.
To mitigate this, try looking for the cheapest areas to buy in your home city. Think about buying something there. While you may not get the best deal on a national level, there’s still a chance of getting the a good deal in your city.
Search around for areas in your city and fit your budget. Then search around for properties that suit your needs. Just bear in mind that even the cheapest areas in your city could be more expensive than properties further afield. Set your expectations a bit lower!
If you’re thinking of moving farther away, it’s important to take into account all the upsides and downsides. Make sure you know what you’re getting into. Be sure to consider all the possible ramifications of moving away. Will you find it lonely being away from somewhere more familiar? Or will you enjoy the chance to start afresh? This will differ from person to person. Before moving farther away, make sure you’re making the right decision for you.