The Valuation of Rural Amenities

Felix Hammond, Jessica Lamond, David Proverbs

Content

• Introduction

• The affordability of rural property

• Key rural amenities

• Case study locations

• Preliminary data analysis

• Conclusion

Housing Affordabilitymost expensive rural local authorities

Local Authority Region House Prices in

2003 (£)* House Prices in 2008 (£)*

5 year % Change

Rural quality of

life ranking

Chiltern South East 326,660 448,635 37% 1

Waverley South East 278,668 396,605 42% 2

Tandridge South East 277,706 367,016 32% 3

South Oxfordshire South East 289,234 333,031 15% 23

Uttlesford East of England 258,395 313,896 21% 8

East Hertfordshire East of England 245,583 309,832 26% 7

Wealden South East 230,297 308,862 34% 39

East Hampshire South East 244,129 296,600 21% 21

Test Valley South East 199,634 295,590 48% 16

Mid Sussex South East 237,347 292,628 23% 11

Rural Great Britain 171,952 235,324 37%

Halifax (2008) Housing less affordable in rural areas. Halifax Rural Housing Review.

Housing affordabilitymost expensive rural local authorities outside south east

Local Authority Region House Prices in

2003(£s)* House Prices in 2008(£s)*

5 year % Change

Rural quality of

life ranking

Bridgnorth West Midlands 181,329 268,579 48% 51

South Northamptonshire East Midlands 191,292 257,986 35% 24

Derbyshire Dales East Midlands 190,561 255,455 34% 80

Castle Morpeth North East 183,022 253,041 38% 49

Harborough East Midlands 187,104 249,516 33% 22

Tynedale North East 157,826 237,137 50% 70

North Shropshire West Midlands 156,631 229,693 47% 78

Wychavon West Midlands 180,550 229,081 27% 35

Hambleton Yorkshire and the Humber 168,255 224,706 34% 43

Monmouthshire Wales 160,185 223,793 40% 59

Rural Great Britain 171,952 235,324 37%

Halifax (2008) Housing less affordable in rural areas. Halifax Rural Housing Review.

Concepts of RuralityRural means different things to different people

Positive NegativeRural idyll “picture postcard” Farming country, noisy and smelly

Hunting, shooting, fishing and country estates

Poverty and lack of opportunity

Relaxed pace of life Slow and backward

Close knit community Unfriendly, closed to outsiders, nosey

Getting away from it all Lack of access and isolation

Benefits of living in the countryside

• Better quality of life on most measures• Older age profile• Net in migration• Fewer homeless• More healthy lifestyles• Better educational achievement• Lower crime• Less deprivation

Source: Commission for Rural Communities (2008) State of the countryside 2008. Commission for Rural Communities.

Disadvantages of living in the countryside

• Worse access to services

• Worse housing affordability

• Concentration of age related diseases and problem

• Polarisation with pockets of great deprivation

Source: Commission for Rural Communities (2008) State of the countryside 2008. Commission for Rural Communities.

Rural complexity

• National studies mask the impact of differences between rural areas and polarisation.

• Previous studies looked at local authority level mixing large towns with small hamlets and isolated dwellings.

• To tackle rural issues research must recognise differences in rural areas

Key rural amenitiesViewsOpen spacePeace and Quiet

AccessibilityClean AirGood Neighbourhood

Case study areas

Chilternmost expensive rural Local Authority.

London commuter belt. Extremely wealthy.

Bridgnorth most expensive rural local authority

outside the South East. No clear commuting destination.

Low average income.

ONS/CLG Urban/Rural Classification

Settlement

Urban Rural

Sparse Less sparseSparse Less sparse

Small town and fringe

village

dispersed

Small town and fringe

village

dispersed

Property Sales by type and urban/rural category for Bridgnorth

0%

20%

40%

60%

80%

100%

Urban Town andFringe

Village Hamlet andIsolated

Detached Semi Terrace Flat

Property Sales by type and urban/rural category for Chiltern

0%10%20%30%40%50%60%70%80%90%

100%

Urban Town andFringe

Village Hamlet andIsolated

Detached Semi Terraced Flat

Mean property price by type and urban/rural category for Bridgnorth

0.00

50,000.00

100,000.00

150,000.00

200,000.00

250,000.00

300,000.00

Urban Town andFringe

Village Hamlet andIsolated

£

Detached Semi Terraced Flats

Mean property price by type and urban/rural category for Chiltern

0

100,000

200,000

300,000

400,000

500,000

600,000

Urban Town andFringe

Village Hamlet andIsolated

£

Detached Semi Terraced Flats

Summary

• Preliminary findings

• Rural complexity

• Affordability or availability

• Different type of property in rural areas

• Different valuation of amenities likely

• Not homogeneous