Aldi stores can add 5000 GBP to the value of a home

Aldi stores can add 5000 GBP to the value of a home

According to research by My Home Move, the price of local homes may increase by £5,000 simply if a new Aldi supermarket is opened nearby.
The conveyancing firm found that in nearly all locations around Britain where a new store had been opened, property values surged, even within just three months of it opening.
Analysing average house prices three months before a store opened, and comparing them to prices three months after it opened, My Home Move found a 2.5 per cent rise in house prices. The average UK home went from £216,450 to £222,052 in that time period when an Aldi store opened nearby.
It has been dubbed the “Aldi effect”, similar to that known as the “Waitrose effect”. However, there is still a substantial gulf between the two – research already conducted by Lloyds indicated a house price boost of almost £40,000 if a Waitrose opened nearby.
“Our own research has shown that a third of home movers chose their new property based on its proximity to shops and local amenities, and as such, we are not surprised that the recent popularity of Aldi – with its cheaper lines and award-winning products – has had a positive effect on the value of local homes,” said the CEO of My Home Move, Doug Crawford.
“The only exception in our research was Reading, where prices have dropped. But, with three stores within a two-mile radius of the city centre, it may be that consumer demand has now been met.”
Aldi is the sixth largest supermarket chain in the UK, with more than 620 stores across Britain and Ireland. The German discount store has seen soaring popularity in recent years as an alternative to the ‘Big Four’ supermarkets – Tesco, Sainsbury’s, Morrisons and Asda.