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Students increasingly opting for privately owned housing have given local property markets a boost, new analysis shows. Looking to buy a house? Compare mortgages online now to find the best rate.
More than half of university towns across the country have experienced significant house price growth compared to the region as a whole in the past five years according to Lloyds TSB.
The University of Ulster campus for example is responsible for a 3% growth in student population in Coleraine in the last five years with price increases of 34%.
"In the past five years population across the university towns in UK has increased by nearly a million students," said Nitesh Patel, Lloyds TSB housing economist.
"Growing student numbers have had a big impact in boosting house prices in some university towns - where the increase in demand has led to the local market outperforming the rest of the region. However, it's a very mixed picture for some of the UK's largest university towns that have seen student population increase significantly without impacting on house prices."
Aberdeen also saw a 4% house price gain since 25, 26% higher than the average across the whole of Scotland. London and Glasgow however, only recorded a price growth of just 5% although the student population rose by 76% and 43% respectively.
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Figures published recently by the Land Registry show that house prices rose by .1% in June, pushing up the average house price in England and Wales to £166,72 and an annual price increase of 8.4%.
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