According to new research conducted by crowdfunding platform Property Partner, average property prices along the new Crossrail route have increased by up to 66% since the project was announced ten years ago.
Set to be completed in 2018, the Elizabeth line will provide a high-frequency commuter and suburban train service, linking Berkshire and Buckinghamshire to Essex, via central and southern London.
The report indicates that 60% of regions have seen property prices soar to nearly double the average house price in England, with property prices in areas around 24 of all 40 Crossrail stations increasing above the South East’s average rate since 2007.
The average property price in Reading is currently £425,804 – an increase of over one third over the last decade. London regions Hanwell, West Ealing and Ealing Broadway have seen rises of 59.21%, 56.82% and 57.48% respectively. The largest increases have been seen in the already astronomically pricey areas surrounding central London stations Tottenham Court Road and Bond Street, with rises of nearly 66%.
The data comes as no surprise, as the new line promises to slash travel times from London’s surrounding counties into the capital’s centre. Dan Gandesha, CEO of Property Partner, said: “Although the impact of Crossrail on the property market has been long heralded, this research is a solid reminder of how stations along the route have outperformed non-Crossrail locations over the past decade.
“Dramatic cuts in commuting times and substantial regeneration of some of the areas along the Elizabeth line have been the main appeal driving price growth. But prices near many Crossrail locations are still forecast to keep rising. Demand from owner-occupiers and tenants will only intensify once the projects are complete.”
Existing property owners and landlords will be pleased to see their house prices soaring, but the impact on ordinary Londoners – particularly those who rent – may not be so celebratory. According to a 2015 study by PriceWaterhouseCoopers, 60% of London will rent by 2025. JLL Residential predicted rent prices in areas such as Whitechapel, Woolwich and Ealing Broadway will be the biggest, at over 30% by 2020.
Crossrail has also been touted as much-needed a catalyst for housing investment and regeneration in some previously neglected areas. Some of this regeneration can already be seen, with plenty more of potential opportunities for investors and those looking to buy. Will you be investing?