HOW do you decide where you’re going to live when buying your first home? Is it purely based on cost? Perhaps it’s the location — or are you just being lured in by the incentives developers are offering?
According to new research from Lloyds Bank, living close to a big-brand supermarket adds value to a property. The so-called ‘Waitrose effect’ commands the biggest cash premium when buying a property, costing £43,571 (12 per cent) more than average house prices in the wider area (£420,112 vs £376,540), followed by properties close to a Marks & Spencer — with a premium of £40,135 — and Sainsbury’s (£32,707).
While these premium supermarkets tend to boost prices, if it’s long-term value you’re after, you may be better plumping for a home near a budget outlet. Recent research reveals it’s homes near lower-price supermarkets that have recorded the biggest price rises. Properties near a Lidl, Aldi, Morrisons and Asda have increased by 15 per cent (£29,316) over the past four years, a much faster increase than for all supermarkets (10 per cent).
This is a real change in fortune and demonstrates the evolving perceptions of discount retailers. In 2014, property prices close to an Aldi traded at a discount of £3,586 relative to the wider area, but by 2018 house prices in areas with these discount retailers fetched a higher price compared to the rest of the area, at an average premium of £2,301.
Homes close to a Lidl are also worth £5,411 more than other properties in the nearby area, meaning you’ll be able to add value and still afford all your groceries.
Sales and marketing director for Barratt East London, Pam Reardon, explains further: ‘Lidl has long been growing alongside Waitrose as one of Britain’s largest retailers.
‘It’s interesting to see their ambitious expansion plans unfold, opening in, or very close to, new developments in Greater London hotspots that are tipped for big things.
‘More expensive supermarkets are placed in already high value residential areas, with little room for house price growth. This is spiking a trend in homebuyers focusing their search near an Aldi or Lidl for the convenience of living near a supermarket without the big price premium of Waitrose.’
An exciting new development — the Aspect, in Hersham, Surrey (Mole Road, KT12 4LU) — is as close as you’ll ever get to a supermarket: it sits right on top of a Lidl.
Just 26 minutes by train to London Waterloo, it offers 33 apartments ranging from one to three bedrooms. Features include spacious open-plan living, lift access to all floors (helpful when lugging your groceries) and a panoramic roof terrace. Help to Buy is available, so it’s perfect for first-time buyers. Prices start at £300,000 for a one-bed flat (crestnicholson.com).
The West Works
Merrick Road, Southall, UB2 4AU
This scheme (pictured top and above) offers 302 homes with studios, one, two and three-bedroom apartments. It’s close to Southall Station, from which Paddington is only 18 minutes away — a minor hop which will be cut to eight minutes with Crossrail. The modern homes feature large windows and underfloor heating and there are landscaped gardens and courtyards. Best of all, Lidl is just a 16-minute walk away.
■ From £315,000 for a one-bedroom flat. Help to Buy is available, the-westworks.co.uk
So Resi Times Square
Welwyn Garden City, AL7 1FY
Times Square, which has been redeveloped for residential use, offers one and two-bedroom apartments, is a 35-minute commute to King’s Cross and only a four-minute walk from an Aldi supermarket. The unusual Art Deco-style building is inspired by 1930s New York. There’s also a concierge service and a large public meeting area. The site is well served by frequent bus services and major arterial road routes, namely the A1 (M) and the A414. It’s only a 10-minute walk to the town centre, which combines the best of a thriving town and tranquil countryside.
■ One-bedroom apartments start from £87,500 for a 35 per cent share (full market price £250,000), soresi.co.uk
De Montford Place
Warwick Avenue, Bedford, MK40 2EQ
Less than 40 minutes by train to St Pancras International, this development by Storey Homes offers 152 high-spec houses and apartments in a range of styles. Features include landscaped gardens and a new tennis court. Importantly, there’s a Lidl, as well as an Aldi, less than a 15-minute walk away, so you have plenty of shopping choices.
■ Prices start from £165,000 for a one-bedroom apartment. Townhouse prices start from £450,000, storey-homes.co.uk
New Mill Quarter
Hackbridge Road, Wallington, SM6 7AX
Forming part of the Hackbridge Gardens development, a scheme transforming the million-square-foot site of the former Felnex Trading Estate, Barratt London’s iconic New Mill Quarter development will feature podium roof gardens with panoramic views, running/cycle trails and living walls. Hackbridge Station is opposite the development, enabling residents to commute into central London from Zone 4 in less than half an hour. For those commuting locally, an on-site car share scheme, cycleways and bus routes will be introduced to further enhance the development’s sustainability. The 143-acre Beddington Park is also close by.Most importantly, a Lidl supermarket and a variety of shops will be situated on the site, creating an ideal community with all amenities on the development’s doorstep.
■ From £309,995 for a one-bedroom apartment; two-bedroom apartments are also available. Help to Buy is available on all homes, barrattlondon.com