Third runway could cull Heathrow prices by 20%

Third runway could cull Heathrow prices by 20%

Last week’s government announcement of a third runway to be built at Heathrow Airport could see local house values hit serious turbulence, plummeting by 20% or more, it is claimed in a report on OPP Today.

Leading online estate agent eMoov says reduced demand could see prices fall by 20% or more, creating London’s longed for affordable housing market, but one that buyers won’t want to touch. Russell Quirk, Chief Executive Officer and founder, says the disastrous implications for those affected are an increase in noise and air pollution rendering their properties undesirable to buyers.

More property rentals than sales for first time since 1930s

“No one in their right mind could find a property desirable if that property sees jumbo jets hurtling past at all hours of the day and night, rattling secondary double glazing and leaving the faint aroma of jet fuel lingering in the air.

“Homeowners have been screaming out for an affordable part of the capital and the decision to place a third runway at Heathrow may have inadvertently provided that, but not as they would have wished.

“Although the expansion will mean great things for London and the economy, it could see house prices in those areas worst affected by the noise and air pollution plummet by as much as 20% as a result. We aren’t talking a month or two of minor road works, this is a seriously large project with ongoing, permanent implications for those impacted by it.

“A fall in value of 20% is a very realistic expectation given the negative impact noise and air pollution can have to a property’s desirability and we could see the average house price in the likes of Hounslow and Hillingdon sink to around £330,000.”

The required demolition of more than 700 homes will obliterate the communities of Longford and Harmondsworth, but could also have far-reaching impacts on the property market across the whole of London. In addition, Windsor and Maidenhead could also be severely affected by flight paths for a third runway at Heathrow. Although prices have risen at a marginally lower rate in the last decade (68%), the higher price of property means a 20% decrease would see homeowners in the area almost £100,000 out of pocket.

Prime property prices in UK show positive outlook

Even areas such as Richmond, Westminster and Hammersmith and Fulham could see a depreciation in property value due to noise and air pollution.

In separate research released this week, online estate agent HouseSimple.com revealed that living next door to a cemetary could knock up to 25% off the value of your property. There are around 14,000 cemeteries in the UK which means hundreds of thousands of homeowners live next to or near a cemetery.

HouseSimple.com looked at property prices on streets in 13 UK towns and cities which are next to cemeteries, and compared those prices to the average price for the postcode area. The figures revealed that house prices on these streets are on average 23% lower than the postcode average.

Alex Gosling, CEO of HouseSimple.com comments:

“For many of us, living next to a cemetery would cause us sleepless nights. But for buyers who aren’t easily spooked, they could pick up a bargain. And if you can get past the fact there are gravestones a few yards from your front door, what you’re actually overlooking is a serene and quiet space, that is unlikely to ever be developed.”

Self-certified Sophisticated Investor

Please read

I declare that I am a self-certified sophisticated investor for the purposes of the restriction on promotion of non-mainstream pooled investments. I understand that this means:

I am a self-certified sophisticated investor because at least one of the following applies:

I accept that the investments to which the promotions will relate may expose me to a significant risk of losing all of the money or other property invested. I am aware that it is open to me seek advice from someone who specialises in advising on non-mainstream pooled investments.

High Net Worth Investor

Please read

I make this statement so that I can receive promotional communications which are exempt from the restriction on promotion of non-mainstream pooled investments. The exemption relates to certified high net worth investors and I declare that I qualify as such because at least one of the following applies to me:

STAY AHEAD OF THE MARKET

Sign up for first access to new developments and exclusive property investment opportunities.

We send limited and targeted emails on new launches and exclusive deals which best fit your areas. We are trusted by over 30,000 active buyers as their source for new stock.

  • New property developments
  • Professional market reports
  • Property deal alerts
  • Development updates
Manchester property investment

FIRST FOR NEWS AND KNOWLEDGE.

Receive trending news straight to your inbox and stay up to date on all of the property market trends and advice.

Established since 2005 we are a leading voice of authority and commentary on the UK property market. Our news is trusted by Apple News & Google News.

  • UK housing market
  • Mortgage & money
  • Buy-to-let landlords
  • Guides & advice

Talk to us

Speak to our UK property experts today:

 

+44 (0) 333 123 0320

Open from 9am-6pm GMT

 

+852 6699 9008

Open from 9am-6pm HKT