With its rugged mountains, picturesque lakes, and sprawling countryside, it is no surprise that property prices in the Lake District are higher than in many other areas of the UK.
The property market in the Lake District has undergone several changes in recent years, with significant increases being seen in property prices.
According to recent statistics taken from the Land Registry, the average house price in the Lake District National Park currently stands at £455,711. This is more than double the average in the surrounding areas, which stands at £233,677.
There are several factors that contribute to these high property prices. Firstly, the Lake District is a popular tourist destination, with a large influx of visitors each year. This has resulted in increased demand for housing, which in turn has driven up prices.
Another factor is the limited supply of housing in the Lake District. The region is known for its scenic landscapes, which are protected as part of the National Park designation. This limits the amount of development that can occur, which in turn keeps house prices high. The lack of available housing is particularly acute in popular towns and villages, such as Bowness-on-Windermere and Keswick, where properties can fetch a premium.
Impact of second home ownership on house prices
Second home owners have undoubtedly played a pivotal role in driving up property prices in the Lake District. In recent years, there has been a significant influx of buyers from outside the area, looking to invest in a second home or holiday home. Controversially, this increased demand for property has led to a decrease in the availability of housing for local residents, pushing up prices even further.
When a property becomes available, it is often snapped up by a second home owner, leaving fewer options for local buyers. This can lead to bidding wars and increased prices, making it even more difficult for first-time buyers and local residents to purchase a home.
In an attempt to try and deter second home owners from buying in the area, several councils in the Lake District have already implemented a 100% council tax uplift on second homes, with others planning on charging double from April 2025. This measure aims to discourage second home ownership and encourage owners to use their properties as primary residences. However, there have been debates surrounding the effectiveness of the tactic.
It is ultimately important to strike a balance between encouraging tourism and preserving affordable housing for locals.
The team at Matthew Parkinson Surveyors can help advise clients regarding the purchase of residential property throughout the Lake District – either for those looking for a primary residence or to use as an investment property or second home. Regardless of the purpose of the property purchase, it is important to be aware of any issues or defects that could affect the property either now or in the future.
Please get in touch with our team to discuss the range of survey reports available.
