Mortgages  

Seaside town house prices soar

The average house price in seaside towns rose by 42 per cent over the last decade, to £196,826 and five seaside towns in Scotland recorded a doubling in house prices since 2004, according to latest research from Halifax.

In cash terms the 42 per cent gain is equivalent to an increase of close to £500 per month since 2004, Halifax said.

Fraserburgh has experienced the biggest rise with a 141 per cent increase from an average price of £53,641 in 2004 to £129,325 in 2014.

Cove Bay (119 per cent), Peterhead (118 per cent), Inverbervie (114 per cent) and Stonehaven (101 per cent) have seen the next biggest gains.

South of the border, Aldeburgh, on the Suffolk coast line, has seen the best house performance among seaside towns with average property values almost doubling (95 per cent) in the decade to £446,576 in 2014.

Other English seaside towns in the top 10 for average price increases are Wadebridge in north Cornwall and Workington in Cumbria (both 91 per cent).

With the average house price in a seaside town now standing at £196,826, this means that buying beside the seaside is still cheaper compared with the average house price across Great Britain (£239,518).

Craig McKinlay, mortgage director of Halifax, said: “Seaside towns provide a unique lifestyle opportunity and remain popular places for people to live, while also attracting those looking for second homes or holiday properties which can place additional upward pressure on house prices.

“For once, oil and water have mixed - with Aberdeenshire at the heart of Scotland’s vigorous energy industry, it is little wonder that seaside houses have increased so substantially.

The 10 most expensive seaside towns are all in the south, with eight in the south west.

Salcombe in Devon (£615,344), which is in an area of outstanding natural beauty and Sandbanks in Dorset (£574,089) are the top two most expensive sea side towns to buy in.