Bath
Local market report and housing update
Winter 2022/23
Bath, the largest city in Somerset, has long been popular for its beautiful, historical and iconic architecture and spa baths, so much so that it is in fact a UNESCO World Heritage Site. Many of the buildings and architecture that the city is known for come from the 17th century Georgian era, made using the locally sourced golden yellow Bath stone. Examples of this include The Royal Crescent, the Circus, and Pump Room and Assembly Rooms located in the heart of the city.
Snapshot & Location
Location Map
"The latest data shows that average house prices in Bath and North East Somerset grew by just under 14% over the last year"
Local demographics & economic trends
The population of Bath and North East Somerset is estimated to be 198,503, reflecting an increase of 12% in the last decade, equating to an additional 22,480 people in ten years. Looking ahead, the population is expected to continue to rise, increasing by 14,900 people over the next ten years, equivalent to 8% growth.
Bath has a high level of employment with an employment rate of 76.7%, compared with 75.5% nationally, and an unemployment rate of 2.5%, compared with 3.8% nationally. Of those employed in the area a high number of them are employed in Managerial, Professional and Associate Professional occupations, making up nearly 60% of all occupational groups.
Notes: Average house prices: Bath and North East Somerset. Rental rates areas: five-mile radius from centre. Projected house price growth, incomes and demographics data, areas: Respective local authority
Bath is approximately 11 miles south east of the larger city of Bristol but it is linked via the A4 road which runs through Bath. Since March 2021 the city introduced a congestion charging zone in the city centre, the first of its kind outside of London in the UK. As a result of the congestion zone, many park and ride schemes were introduced and the area has extensive bus coverage as well. Bath is also served by Bath Spa railway station with regular connections to London Paddington, Bristol Temple Meads, Cardiff, Plymouth and many other points along the Great Western Main Line.
Connectivity
Sales Market
The local Housing Market
The latest data shows that average house prices in Bath and North East Somerset grew by just under 14% over the last year, compared with 13% across England and Wales. Over the longer term, there has been over 35% value added to the average house in the area since the pandemic (February 2020), leading to a current value of £449,702 and adding approximately £117,800 to the price of a property over the period.
The Local Housing Market
Average rent (£ per calendar month)
Average house price
Average house price growth
Annual rental growth
Gross Yield
£449,702
13.9%
£1,594
24%
3.9%
Sources: HM Land Registry (October 2022, latest data), REalyse
Average house prices by property type and location
Terraced
Flat
Overall Average
Detached
Semi-detached
Bath & North East Somerset
£399,474
£299,422
£449,702
£772,217
£472,694
South West
£284,725
£200,248
£339,206
£542,979
£350,052
£253,644
£253,542
£311,074
£488,076
£298,211
England and Wales
Source: HM Land Registry (October 2022, latest data)
Chart
Chart
According to the latest data from the Office for National Statistics (ONS) (Q1 2022), average rents across the wider Bath and North East Somerset area are £1,306 per calendar month (pcm). This is over 45% above the wider South West average of £898 pcm. On the upper quartile, rents were found to have reached an average high of £1,575 across the BANES area.
Rental Market
We note that in the more localised immediate Bath area, average rents are now around £1,594 pcm, reflecting a robust increase of 24% over the last 12 months (REalyse). Rents have come under increasing upward pressure in the area as the amount of available stock continues to decline. As a result, gross yields have also moved out, moving from around 3.3% in 2021 to nearly 3.9% by the end of 2022. Looking ahead, we expect that rents will continue to rise, although we anticipate more modest growth of between 4 and 6% over the coming 12 months.
Sources used: Carter Jonas Research, Experian, Google maps, HM Land Registry, Office for National Statistics, REalyse, Rightmove Notes: REalyse rental data 12-month rolling average
For further information, please get in touch with one of our local experts
Get in touch
David Mackenzie
Sharon Hunter
Sales
Lettings
01225 747250
01225 747250
EMAIL ME
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