Think you know where to find the hottest properties in the country? Think again. These days, if you’re looking for capital gains, you’re likely to find them where you least expect. The list of places that have seen the biggest house-price rises outside London in the past two years, according to research by Savills estate agency, is a roll call of the southeast’s least sexy local-authority areas. And this isn’t a flash in the pan — their growth spurt looks set to continue.
With Slough at the top, followed closely by Thurrock, Harlow, Luton, Broxbourne and Reading, these aren’t the kind of locations that trouble lifestyle magazines. They do, however, offer an increasingly rare commodity: affordable houses within striking distance of the capital. Most are also near airports and the M25. It’s a combination that has sent values soaring by as much as 40% since 2014.
Lucian Cook, director of residential research at Savills, says it’s a case of “reality catching up with aspiration”. He admits that the data flies in the face of the theory that equity-rich locations always perform best. “These are the lower-value commuter towns for London, and they are all coming off a low base,” he says. “They will appeal to people who are trying to get as much house as they can for their money.”
Slough
What with Sir John Betjeman’s poetic plea for friendly bombs, and a despondent name, this busy Berkshire town will never win prizes for glamour. But if you can put aside visions of a soulless concrete jungle, it’s easy to see why it’s popular with buyers who are less concerned with prettiness than with value and convenience. The giant trading estate that inspired Betjeman’s lament ensures there is no shortage of jobs: a clutch of multinationals have their head offices here. Slough is well connected — it’s just over 20 minutes by train to London Paddington, and Liverpool Street will be 40 minutes away when Crossrail opens in 2019 — and as much as £1bn is being spent on smartening up the town centre.
Price The average property goes for £302,602, and you can pick up a three-bedroom semi for £400,000.
We say You can always call it “Windsor borders”.
Thurrock
This riverside corner of Essex used to be the first spot east of the capital where property values hadn’t been hit by Londonitis, and it’s become a magnet for those priced out of the capital — in 2015, more of them migrated here than anywhere else. Trains from Grays, the biggest town in the area, take only 40 minutes to reach Fenchurch Street. Thurrock is best known for Lakeside, the unlovely shopping/entertainment centre on the M25, but more than half the area is designated green belt.
Price The average property costs “just” £256,844 — which might get you a two-bedroom modern terrace. Be warned, though: houses in Orsett, one of the nicest satellite villages, are under threat from plans for a river crossing.
We say Value on Thames.
Harlow
The utopian dreams that lay behind the creation of this postwar new town are hard to spot today. Harlow had the first pedestrian precinct in Britain, and the first residential tower block — innovations that haven’t always aged well — and Sir Frederick Gibberd’s town hall and water gardens have been refashioned as a more functional civic centre and shopping mall. There’s still plenty of green space, as well as easy access to London (34 minutes by train) and the M11.
Price The average here is £264,111. A three-bedroom house will set you back about £360,000; new two-bedders go for £275,000.
We say Unsexy Essex.
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Luton
What this less than lovely-looking Bedfordshire town lacks in obvious charm, it more than makes up for in convenience. It’s just 24 minutes by rail from London if you catch the right train, but with direct services to Brighton and Nottingham, you’re not restricted to ploughing to and from the capital. Luton has an airport, too, and it’s just a short hop up the M1 to Milton Keynes, an employment hotspot. It’s probably this, coupled with cheap property (the average price is £227,488), that has made it the most profitable place in the country for landlords, according to a recent report — though the Bake Off winner Nadiya Hussain, who was born and bred here, is helping to put the town on the map. Also in Luton’s favour are some good schools and easy access to beautiful Chiltern countryside.
Price Most two-bedroom flats cost less than £200,000, and there are plenty of three-bedroom terraces available for £250,000-£300,000.
We say A rental showstopper.
Broxbourne
The clutch of small towns stretching north along the A10 , including Cheshunt, Hoddesdon and Broxbourne itself, have all the ingredients of a commuter hotspot. Fast trains to the City? Check — it’s half an hour to Liverpool Street. Good road access? The M25, M11 and A1 are all on the doorstep. Good education? Of course — 40 students at Broxbourne School got eight or more A* and A GCSEs this year.
Price The average property here goes for £349,213, but you’ll pay upwards of £700,000 for a four-bedroom executive home, or more than £1m for one of the new-build swank pads that are springing up on the leafier streets. A standard semi will cost about £450,000.
We say On the road to everywhere.
Reading
It’s only the concrete- and traffic-scarred town centre that stops Reading appearing in lists of great places to live. It has lots of fast trains to the capital (soon to be boosted by Crossrail), as well as to Bristol, Oxford and various bits of Surrey and Hampshire. Schools are good and there are Thames walks on tap. You don’t even have to commute, as Reading is now quite the tech hub.
Price It’s nearly 40 miles to London, so, although the average property price of £316,825 may look cheap, bear in mind that a season ticket will cost £5,000 a year. A detached house in desirable Caversham will set you back £1m, but there are plenty of four-bedroom semis on the market for less than £500,000, and two-bedders go for £350,000.
We say Take me to the river.