Homes in England that come to the market with planning permission already granted can command an average price premium of 11%, climbing to almost 20% in the North West, research from Home Sale Pack reveals.
Analysis from the up-front information platform shows the average asking price for a property with pre-agreed planning permission is £475,191 – 11% higher or £47,000 more than comparable properties.
The average price for a home with planning permission in the North West is £393,583, 19.9% (£65,366) higher than the wider average house price of £328,217.
PRICE PREMIUM
While pre-agreed planning permission also brings a price premium of 18.7% in London, 17.2% in Yorkshire & Humber, and 17.1% in the North East.
In England there are just 10,359 homes with planning permission currently available in the current market, the largest proportion are found in the South East, home to 27.6% of the national total.
Ruth Beeton, Co-Founder of Home Sale Pack, says: “Prospective buyers with an appetite to expand a property over time will often lean towards a property with pre-agreed planning permission in place as it allows them to sidestep a time consuming and costly process.
“Even if the permission that’s been granted doesn’t match a buyers vision for their new home, it’s still a really good sign that any future planning requests will be granted because the local authorities have already shown a willingness to allow the home to be improved.”
SELLERS CAN BENEFIT
And she adds: “This is another example of how sellers can benefit from providing buyers with up-front information about a property because not only does it improve the speed and certainty of their sale, but it can also make their property more appealing and help them to command a higher price.
“Agents could be missing out on quality buyers because they’re not able to see the true value of what you’re selling.”
