A survey by Zoopla found that Aldeburgh and Southwold had the second and third highest average property values for seaside towns across the UK.
The property website analysed average property prices across Britain’s popular seaside locations over the last 12 months to find the strongest and weakest-performing coastal towns for 2017.
Aldeburgh was second on the list with the highest average property peaking at just over half a million at £517,517, closely followed by a slightly cheaper Southwold in third place with an average property price of £455,983.
Salcombe in Devon beat the two Suffolk towns to the top of the list to be the priciest place for a sea view with the highest average property there at £635,435.
Harry Wass, Director for Residential Sales at Flick and Son in Aldeburgh, said: “Aldeburgh and Saxmundham have achieved high average properties prices because they are by the sea. Being close to clean and well-managed beaches, combined with attractive period housing and characterful high streets which still include many local businesses makes the towns very appealing to both the second home owners and retirees alike.
“Inevitably the increase in demand pushes houses prices beyond affordability levels and the once-locals have to look elsewhere to be able to afford what they need to house their families.
“Although Aldeburgh and Southwold have been registered second and third in values for seaside towns, the low levels of transactions that take place over the course of the year mean that the figures can be skewed by one expensive sale.
“Earlier this year our Southwold branch agreed a sale on Stone House, marketed for £2,750,000. One home at this price makes a large difference to the figures and can adjust the average price significantly.
“Just before the recession there was a strong push from holiday let companies to increase the stock levels for holiday homes and get people to invest.
“With the holiday home market somewhat saturated, there now being numerous local holiday let companies in the area, most second home buyers purchase to combine a small investment with fairly safe capital growth whilst providing a country retreat from London or the northerly Home Counties.
“Investors can generally find better yields in longer term buy-to-let investments, which is in itself a thriving industry in the area in spite of the recent changes to taxes for landlords.
“As long as the towns keep a sense of community and contain a sustainable level of permanent residents, the towns will continue to thrive. Aldeburgh, for example, has many year-round events including literary, film and theatrical festivals which draw people to the town both permanently and to visit.”
Three Essex towns also made Zoopla’s top ten list for the biggest year-on-year price increases.
Walton-on-the-Naze was second with a 9.43% rise, taking average prices to £231,410. Clacton-on-Sea was seventh, 5.88%, £218,125; and Southend-on-Sea 10th, 4.89%, £218,125.
Brady Rackham, one of the partners for Palmer and Partners Estate Agents, said: “Clacton, especially, has grown over the last few years.
“The past 12 to 18 months in particular we have seen a sharp rise in prices, but I think this has reached its peak and i doubt there will be much room for those prices to rise further.
“With investments and developments like Clacton Pier and the Pavilion, the area is now a very big attraction for house hunters.”Within the results, southern England continued to dominate the rankings, with Walton-on-the-Naze, Sidmouth and Penzance following Broadstairs with average property price increases of 9.43%, 7.51% and 6.99% respectively.
Zoopla spokesman Lawrence Hall said: “With Broadstairs’ Dickensian history and proximity to London it’s easy to see why it tops the list of this year’s best-performing seaside hotspots.”
The seaside towns with the highest average property values according to Zoopla:
1. Salcombe, Devon, £635,435
2. Aldeburgh, Suffolk, £517,517
3. Southwold, Suffolk, £455,983
4. Lyme Regis, Dorset, £417,562
5. Port Isaac, Cornwall, £388,620
6. Sidmouth, Devon, £388,331
7. Brighton, East Sussex, £378,495
8. Woolacombe, Devon, £361,880
9. North Berwick, East Lothian, £361,540
10. Swanage, Dorset, £361,046
The top 10 seaside hotspots in Britain in 2017, according to Zoopla, with the year-on-year percentage increase in property values and the average property value:
1. Broadstairs, Kent, 10.45%, £313,813
2. Walton-on-the-Naze, Essex, 9.43%, £231,410
3. Sidmouth, Devon, 7.51% £388,331
4. Penzance, Cornwall, 6.99%, £262,089
5. Margate, Kent, 6.86% £217,988
6. Falmouth, Cornwall, 6.49% £338,756
7. Clacton-on-Sea, Essex, 5.88% £218,125
8. Blyth, Northumberland, 5.64% £130,566
9. Newquay, Cornwall, 5.12%, £257,182
10. Southend-on-Sea, Essex, 4.89% £288,424
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules here