If you add a roof terrace or balcony to your property, you could increase its value by as much as 12%, found London estate agent Marsh & Parsons.
As summer approaches, homeowners and buyers are considering the importance of outdoor space.
Although central London homes rarely have their own garden, having a roof terrace, balcony or communal garden can still attract buyers or renters.
Research by Marsh & Parsons revealed that a roof terrace or balcony generally adds 12% to the value of a property, increasing to 25% in Chelsea. Use of a communal garden can increase value by 11%, rising to 20% in Little Venice and Holland Park.
Associate Director and Sales Manager at Marsh & Parsons in Holland Park, David Pittman, says: “As the mercury rises, Londoners don’t want to be cooped up inside and want to be able to feel the wind in their hair. For the right buyer, a balcony or more particularly, a roof terrace, will add significant value to a property in the area.
“Some of the more petite family houses have roof terraces in place of a garden and in these cases, value will be increased by approximately 10% more than the same property without any outside space.
“Having direct access to one of W11’s wonderfully desirable communal gardens can increase a property’s value by 20% or significantly more.”1
Marsh & Parsons estimates that just under a third of flats that come onto the market have a roof terrace, balcony or communal garden, and these properties are much more appealing to buyers, attracting more interest and selling faster than the same properties with no outdoor space.
The agent also calculated that the average price per square foot of outdoor space in London is £897, surging to over double that in South Kensington at £1,925.
CEO of Marsh & Parsons, Peter Rollings, comments: “As a nation, we love our gardens and the Chelsea Flower Show has green-fingered enthusiasts across the country looking on in envy. But with outdoor space at a premium in the capital, not all properties have their own gardens, so roof terraces, balconies and communal green areas can be just as important to buyers looking to unwind in the open air.
“Vendors have long been aware of how much value traditional home improvements such as a new kitchen or bathroom can add to a property and this research may just persuade them to convert flat roofs or balconies into habitable outdoor oases.”1