Do bigger houses go up in value quicker?

diystarter7

diystarter7 said:

Hi

Location, location, location is the key to price sustainability and best rises.

Thnaks

Hi again

I'd like to add:

As I said its location. Along with that is potential. Along with that is the size of the prorty and the ammeities as most people dont want to do a lot of work other than paint annd decor. Therefore a "large house, 4 double bedrooms at least has to be compliments by at least one commual bathroom and is a shower is int ehre as well as the toilet goot. At least one more toielt and shower facility. A good sized lounge and kitchen and OSP, front and back gardens but again location is the key

I've seen a house advertised with 5 bedrooms and one bathroom and one toilet, not good imo.

Therefore, many factors but I'd say, location first and then work on the rest.

Good luck

gazfocus

Thanks for the input. 

The only reason I’ve been thinking about it is that the house we are selling was once our family home that then got rented out. We are selling it and buying a house that will 100% be a mid-term investment property, so my head says perhaps keep the bigger house that could grow in value but then having the house with no mortgage means it’s easier to do what we want in terms of short term rentals/holiday let, etc as we don’t need to worry about getting mortgage lenders permission, or interest rates rising, etc. 

lookstraightahead

Location I think (and it's only think) tends to keep the value better. 

A road where everyone wants to live and it's snapped up, whether it's a telephone box or a mansion.

I would say new builds lose value like cars, but again I have no research to back this up.

obviously what's happening in the market makes a difference.

Biggrr houses take more heating/maintenance. 

gazfocus

lookstraightahead said:

Location I think (and it's only think) tends to keep the value better. 

A road where everyone wants to live and it's snapped up, whether it's a telephone box or a mansion.

I would say new builds lose value like cars, but again I have no research to back this up.

obviously what's happening in the market makes a difference.

Biggrr houses take more heating/maintenance. 

I've always been against buying brand new cars and would never buy a brand new house for the reason you mentioned. They just lose too much value (in my opnion anyway) as soon as they are no longer 'new'.

New build houses are also shocking quality most of the time when compared to older houses.

Linton

More important than size, I think, is a desirable location.  There are a wide range of big houses available all over the country but the supply of houses in specific desirable locations is very limited.

RelievedSheff

gazfocus said:

lookstraightahead said:

Location I think (and it's only think) tends to keep the value better. 

A road where everyone wants to live and it's snapped up, whether it's a telephone box or a mansion.

I would say new builds lose value like cars, but again I have no research to back this up.

obviously what's happening in the market makes a difference.

Biggrr houses take more heating/maintenance. 

I've always been against buying brand new cars and would never buy a brand new house for the reason you mentioned. They just lose too much value (in my opnion anyway) as soon as they are no longer 'new'.

New build houses are also shocking quality most of the time when compared to older houses.

We fully expected to lose money when we bought our new build. However 4 years on it is now worth circa 50% more than it was when we bought it in 2019. 

GDB2222

RelievedSheff said:

gazfocus said:

lookstraightahead said:

Location I think (and it's only think) tends to keep the value better. 

A road where everyone wants to live and it's snapped up, whether it's a telephone box or a mansion.

I would say new builds lose value like cars, but again I have no research to back this up.

obviously what's happening in the market makes a difference.

Biggrr houses take more heating/maintenance. 

I've always been against buying brand new cars and would never buy a brand new house for the reason you mentioned. They just lose too much value (in my opnion anyway) as soon as they are no longer 'new'.

New build houses are also shocking quality most of the time when compared to older houses.

We fully expected to lose money when we bought our new build. However 4 years on it is now worth circa 50% more than it was when we bought it in 2019. 

Your area did particularly well in the pandemic, as lots of people moved from London to Yorkshire, due to WFH. That has disrupted the market. 

ManuelG

gazfocus said:

I've mentioned before, my wife and I are selling our current house and the plan is to use the equity from the house to buy a smaller house without a mortgage. However, I've been looking on rightmove and it's got me thinking...

Our current house is selling for 57% more than we paid for it 9 years ago (current house prices suggest we could actually get more but that's for a different conversation), whereas the house we are looking at buying appears that either the seller paid way over the odds for it 12 years ago, or the value has only gone up by 11% in the 12 years since he bought it. 

Thinking back, our last house was a 3 bed semi which we sold for £136k in 2018 and the house is worth about £160k now, so a 17.6% increase.

So, just wondering if, as a general rule, do larger houses tend to increase in value at a faster rate than smaller ones?

If you bought then, you bought in a little bit of a dip. I bought my little house at a similar time for less than the previous buyer paid for it, and it's gone up a similar amount.

[Deleted User]

Because new builds are generally microscopic, and have been shrinking for decades, space is at a premium. So larger houses, speaking very generally, do tend to increase in value more than smaller ones.

This has lead to a breakdown of the housing ladder, with people unable to afford to upgrade even once they are in a micro house.

housebuyer143

In my area it's £230k 3 bed semi, then £330k 3 bed detached and £375k 4 bed detached. 

Whether they go up more or not depends greatly on your area and the amounts of different housing types in my opinion. If larger houses are in shorter supply then you can expect them to increase more than the ones that are in abundance.