Analysis from Zoopla reveals how far homebuyers are prepared to cast the net when searching for a property. The average search radius is now 3.4 miles, down from 4.3 miles in 2021 – but 26% of buyers are prepared to move beyond a 10 mile radius.
Buyers in the South East and East of England are the most likely to search for homes further afield, according to Zoopla’s analysis of listings on its website and the data provided by users submitting a buyer enquiry.
These regions have the highest share of buyers looking outside of their immediate area, with 35% of South East residents and 39% of those in the East of England looking at homes costing up to £60,000 less than in their local areas.
‘This is particularly true for buyers in popular commuter areas with strong links to London, such as St Albans, Stevenage, Hemel Hempstead, Luton and Guildford, as well as in innovation hubs like Cambridge and Oxford’, Zoopla said.
“In all of these locations, over 40% of buyers are searching for properties outside of their local area, driven by a desire for better value and more space.”
For many buyers in southern England, expanding the search outside of their local area is driven by affordability constraints. Buyers in the South West look for homes priced £40,000 below the value of homes in their current location, while London-based buyers seek savings of around £200,000.
‘The allure of a London postcode is increasingly being weighed against the compelling financial benefits of looking further afield’, Zoopla said.
“Those looking in Uxbridge are chasing significant savings of up to £220,000 (44%), with 35% of buyers looking 10 miles or more from their current location. Similarly, buyers in Harrow are seeking similar savings, around £220,000 (40%) for a property further away but similar to that in their current location. Even in broader areas like North West London and North London, buyers are hunting for nearly half off, hoping for savings of around £290,000 (48%) and £285,000 (49%) respectively.”
In northern England and the Midlands, more home buyers search locally, with seven in 10 buyers looking within a five-mile radius of their current home. The local focus is especially pronounced in Liverpool (83%), Bradford (83%) and Hull (82%). ‘This suggests that buyers in more accessible markets are finding their preferred home without the need to compromise on location if they don’t have to’, Zoopla said.
Although buyers in the North and Midlands tend to stay local, many still actively seek value. In the North West and Midlands, buyers look at homes 10 miles away with a price tag of up to £25,000 less than their immediate area. In the North East and Yorkshire & the Humber, however, buyers will pay a premium of £20,000 to leave their current area.
The most rural parts of the UK have a higher than average share of those willing to move further afield. In Llandrindod Wells in Wales, 77% of buyers look outside their local area, followed by 57% of homebuyers in Salisbury and 48% in St Albans.
‘This is most likely driven by a combination of factors, including lifestyle changes, such as new working patterns that make commuting less of a constraint and the desire for better access to amenities like schools and hospitals’, Zoopla said.
Executive director Richard Donnell added:
“Home buying decisions and search patterns are being reshaped by the affordability of housing. The old adage that most people move within five miles of where they live today is being challenged, especially for those wanting to live in southern England where housing costs are greatest.”
Nathan Emerson, CEO at Propertymark, said the analysis shows that affordability remains a significant challenge for homebuyers.
“This growing trend requires longer term solutions such as easing mortgage costs, reforming the property taxation system in a way that encourages more people to step onto the housing ladder, and ensuring that the housing targets of the UK Government and the devolved administrations are all met.”
In an exclusive interview with Today’s Conveyancer earlier this month, Outra’s chief revenue officer of real estate Simon Dawson said conveyancers can no longer rely on word of mouth due to transient populations. ‘The level of competition in the marketplace is a challenge’, he explained.
“Traditional approaches from firms who say, ‘we’ve been here for years, we rely on our community standing’, can only go so far. Local communities are growing at a fast rate, properties are being built at a fast rate, people are moving, more so than they have done over the last five years.”
Zoopla’s analysis could also offer an explanation for research last year that found just 11% of homebuyers return to their conveyancer when buying a property.
