Property hotspot: Is there a reason behind Bournemouth’s increase in house prices?
If you are already living in Bournemouth, you may be pleased to hear that the town has seen an increase in house prices – if you are planning to move there, however, this might not be quite such welcome news.
In January 2016 Bournemouth saw the sharpest increase in house prices in all areas of England and Wales, due to the seaside town rising in popularity among home buyers.
Your Move said the average Bournemouth house price went up 2.9% over the month to £261,232 – faster than anywhere else. However, although across England and Wales the average price only rose by 0.2% in January by comparison, UK house prices still tend to be higher than the Dorset town, at £290,642.
It doesn’t really come as much surprise that people are choosing to move to this vibrant seaside resort situated on the southern coast of England, famous for its seven miles of golden sands and sparkling blue sea.
But the beach isn’t a new feature, so what is the reason behind this increase in people wanting to move there and as a result, rising house prices? Why now?
While the beach is bound to be a factor for those moving into the town, this sudden rise is due to the fact that Bournemouth was named the fastest-growing digital economy in the UK, last year.
According to Adrian Gill, director of Reed Rains and Your Move estate agents, “This ‘silicon beach’ surge has created more well-paid tech jobs in the area – spurring the recent rise in home values, as more people look to move into the neighbourhood.”
A report by Tech Nation, which is the largest ever study of the UK’s digital sector, revealed that the number of digital companies formed in the town between 2010 and 2013 rose by 212%, employing around 7,000 people. They also hosted the Silicon Beach technology conference in 2015.
Previously London has been at the heart of the digital industry, but the report showed that 74% of firms are not based outside of the capital with Bournemouth, Liverpool and Brighton coming out on top.
When you consider that Bournemouth is taking over from London as one of the digital capitals of England, this increase in house prices may not seem so off putting if you were toying with the idea of moving there. In fact, if you run a digital company or even fancy working for one, then it would probably be in your best interests to make the move! Even with a two-hour commute from the capital, you might actually find yourself better off financially.
So, what are you waiting for! Pack up your office – keep it safe in local storage while you move your life and potentially your company to the fastest-growing digital economy in the UK. Before you know it, you could be running your business from the sun-drenched beach as you listen to the waves crashing gently against the shore – rather than a stuffy office with constant traffic noises.
Main image above credit: pixabay.com/diego_torres