Property prices rise in university towns

Posted: 17 Aug 2007 10:08:02 GMT

Many university towns have seen big house price increases in the last year.

Many university towns have seen big house price increases in the last year.

That is according to the Halifax University Town House Price Review, which shows that 20 of the 79 towns saw prices rise by 20 per cent or more.

This, says Halifax, is almost double the national average of 11 per cent, with the average university town also outperforming the rest of the country, recording price growth of 14 per cent as of June.

Belfast was the best performing town, with prices increasing by 47 per cent in the last year.

Towns with the most highly ranked universities tend to have higher property prices, according to the report.

Oxford is the most expensive town, with prices reaching £328,241, while Cambridge is ranked second at £287,536.

"University towns are popular choices for home movers because they usually have a wide range of local facilities, while investors have been attracted by the steady increase in university populations," said Colin Kemp, managing director of Halifax Estate Agents.

"The best ranked university towns, including Oxford and Cambridge, tend to trade at a premium to surrounding towns but some of the top 20 ranked universities have lower house prices, including Coventry, home of Warwick University, and Bristol."

Building society Britannia recently advised parents that they can help their child through university by investing in a buy-to-let property and using any profit on a resale to clear their child's debt.

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