Your home is likely to be one of your biggest financial assets so, when you’re buying, it’s important to think about how desirable and therefore valuable it will be in the future when you come to sell or pass it on.
The biggest driver of a property’s increase in value is when it is in short supply. When demand is high, but supply is limited, prices tend to rise. This can be influenced by a variety of factors, including:
• Location - Homes on the waterfront, those with countryside views, adjacency to parks, or within the catchment of highly rated schools are naturally limited in number.
• Situation - A corner-plot house or a top-floor apartment with no neighbours above will always attract attention.
• Style - Properties with distinctive or uncommon architectural features often benefit from a ‘rarity value’.
• ‘Extras’ - Homes with features not typically found in equivalent properties such as a ground-floor flat with a private garden or a terraced house with a separate garage, tend to stand out.
• Age - Character properties remain appealing, although the value gap between period homes and newer builds has narrowed in recent years. Ongoing undersupply of housing means even modern homes are now in short supply in many areas.
Even if a property isn’t inherently unique, if demand outweighs supply in a particular location, prices generally rise across the board.
Here are some further points to think about when you’re choosing a home that will work as a strong long-term investment.
Local area plans
Part of your research when buying should always be to look at the local infrastructure plans. New transport links, incoming businesses investment, new facilities and amenities all create jobs and encourage people to live in an area, which keeps demand for properties high. You can find this information through your local council’s ‘Local Plan’, which outlines future changes and priorities for the area.
Pay particular attention to planned housebuilding. More homes can support local growth, but buying very close to a large development site or new rail line may mean years of disruption or proximity to future noise.
For example:
• The long-running HS2 project boosted demand around new station hubs such as Birmingham Curzon Street, supporting regeneration and rising prices. However, rural homes directly along the route often saw weaker growth due to construction disruption.
• Along London’s Elizabeth Line, which fully opened in 2022, property prices have outperformed the wider capital. While overall annual growth in London has been around 1.4%, boroughs with Elizabeth Line stations have seen closer to 2.7% year-on-year increases.
Flexible accommodation
Futureproofing also means ensuring the home can adapt to your needs over time. Consider:
• Could you live predominantly on the ground floor if stairs become difficult in the future?
• Is there potential to add or adapt bathrooms?
• Could you create a self-contained annexe for multigenerational living?
It’s also worth assessing the wider area. In sought-after locations, residents often prefer to upsize, downsize, or relocate locally. A healthy mix of property types nearby can help maintain steady buyer demand in the long term.
Leasehold properties
Although there are already changes underway to make the leasehold structure and processes fairer for owners of these homes under the Leasehold and Freehold Reform Act, there are still things to bear in mind if you’re considering buying a leasehold property.
• When a lease drops below 100 years, extending it becomes a consideration.
• Below 80 years, buyers may struggle to secure a mortgage and extension costs increase.
• Restrictive covenants, such as limitations on subletting, can reduce future appeal and flexibility.
Ideally, choose a property with a long lease or one that can be extended easily. Always instruct a specialist leasehold conveyancing solicitor to review the terms.
Energy efficiency
Most buyers want a home that is comfortable, cost-effective to maintain, and economical to heat. With minimum EPC standards for rented homes expected to rise to a C rating by the mid-2030s, it’s wise to consider the current and potential energy performance of any property.
If the home isn’t very energy efficient, check whether improvements, such as insulation, heating upgrades, or renewable technologies—can be made without excessive cost or disruption.
If you are thinking about moving, our sales teams are always happy to discuss your plans and help you identify the right property in the right location. Contact your nearest branch today and get the ball rolling!
