As the London tube becomes a 24-hour service on two lines with more to follow, house prices on those lines are expected to rise, buoyed by the additional transport benefits of living close to one of those stations, even it’s in zone 5.
The Victoria and Central lines are the first two that will run 24-hours on Fridays and Saturdays, allowing commuters the ability to get home without a long and not always pleasant, night bus service. Tube journeys are quicker than buses, even in the wee hours, so this new transport option is a valuable improvement.
Wimbledon Estate agent Robert Holmes said the new night tube was great news for Londoners. “London is a 24-hour city so it’s only right it is served by a 24-hour transport system. Properties that are on the lines that already do and will run through the night from the autumn and beyond, will be in even more demand than they were previously.”
Indeed, analysis by Business Insider on a recent survey shows the tube stops on the new night tube lines that offer the best value for money. Tottenham Hale in zone 3 on the Victoria line tops the chart with the average property price there just £347,389 and your tube journey to central London a speedy 18 minutes. Prices at the 10 cheapest areas rise in increments to an average of £435,906 in Walthamstow, which gets you into central London in 22 minutes from its zone 3 location.
During the autumn, the 24-hour Friday and Saturday tube service will expand to include the Piccadilly, Northern and Jubilee lines. And where there are improved transport options, an improved price tag is sure to follow.
“Transport links feature strongly among many people’s key requirements whether it be renters or buyers who are on the search for a new home,” said Denhan Guaranteed Rent “For Londoners who like to enjoy the eclectic nightlife on offer in the city, the pull of moving to an area serviced by a 24-hour weekend tube service will be strong.”
It’s not just clubbers and young party goers who will enjoy and benefit from the extended tube hours. Shift workers will also find their journeys to and from work much improved – for two days of the week at least. It should also prove a boon to some businesses who may lay on taxis and transport for their staff.
For bar and restaurant workers, their Friday and Saturday night tips will no longer need to be saved for an expensive cab fare and can instead be put towards a holiday, a special item or a deposit for a home of their own.
Investors who bought property early on in the planning stage three years ago, will likely receive the most financial benefit from the new night tube with average London property prices rising by around 37% from £377,000 in November 2013 to 472,000 in June 2016, according to data from the Office for National Statistics (ONS). Rents will also likely rise in those areas, although landlords happy with their existing tenants may keep rent increases to a minimum.
“The night tube has been a few years in coming, but now its arrived landlords and home-owners will be happy with their initial investment, be it in recent years or many years previously,” London bridge estate agent Williams Lynch said. “The night tube should prove to be good news for people who live on the improved lines, London’s night time economy and property investors too.”