Would A New Estate Affect Neighbouring House Prices?

Noospheric

We are looking to buy our first home and have recently viewed one we like. However, we heard that a neighbouring field is to be built on, and with a little research, found a new estate has the go-ahead.

Would a new estate (and quite a large one) affect the prices of houses that already exist in the area? The new estate will be built on the other side of a road, views over a nice field will be lost and potentially privacy will be reduced too. The house in question is on the market for £180,000, so if it were to lose value, can anyone give a reasonable estimate as to how much?

Thanks in advance!

hazyjo

Impossible to say - some 'posher' estates will probably add value, some less so will detract. You'll probably need to do more research to find out what they're actually planning on building...

A small estate was built over the fence to my mum. Mixture of flats, houses and social housing (think they have to include that on everything over a certain size), but a (desirable) pub was there before, so I don't think it's changed any value. The new houses go for a quite a lot anyway.

Also, I've just moved from a massive new estate (well, around 10 years old) which I think has added value to property nearby. It was very desirable, with a massive mixture of properties (in Brentwood). Some cheap flats, some >£1m houses.

Jx

Dukesy

Very difficult to say - if someone decided to build an estate in the field behind my house, my house would be worth drastically less. You could probably write off at least £70,000, possibly more. However, that's because two of the biggest draws for my house are the views, which are stunning and played a big part in us buying the place, and its rural location - my village is no more than a wide place in the road, 25ish houses, all period, all fronting onto the same road.

If the house you're looking at is already in a built up area, won't be affected anywhere near as badly, but it's something I'd be uncomfortable about - aside from the way it might look, what is the purpose of this estate? Is it going to be 'executive' or low cost housing? Is it likely to be council housing? Definitely do a bit more digging if you can.

Wi88le

You also need to consider the disruption that the building of the estate will cause, noise, dust, traffic, builders parking (also likely to lack parking when finished), connection of new estate to services, etc, etc

Furts

I suggest you establish which plots are affordable housing, which plots are social housing, and where these plots are located in relation to you and the road.

Then you have to make a judgement.

Noospheric

Thanks everyone. We'll have to get in touch with Barratt to try and find out more.

thelem

What effect will it have on the local facilities? In particular, is there capacity in the local schools (or will a new school be built on the estate). Even if you don't have children, a future buyer might.