How Much Would It Cost to Buy All the Homes in Peterborough? Find Out if the Market is Worth More Than You Think!

How Much Would It Cost to Buy All the Homes in Peterborough?  Find Out if the Market is Worth More Than You Think!

This fascinating question was posed by one of our Peterborough landlord’s teenage daughters when they visited our office before Christmas (doesn’t that seem like ages ago now?).  While we didn’t know the answer immediately, we promised to find out. Over the Christmas holidays, we calculated the total value of all the properties in Peterborough and, for fun, worked out how much they’ve increased in value since she was born in the autumn of 2010.

The Rise in Peterborough Property Values

In the last 14 years, the total value of Peterborough property has grown by 73%, or £6.377 billion, reaching a staggering £15,114,528,670 (£15.114 billion).

To put that into perspective:

• The FTSE100 stock market rose by only 38.5% in the same period.
• Inflation (as measured by the UK Retail Price Index) increased by 51.1%.

This highlights the remarkable strength of Peterborough’s property market as a long-term investment.

Average Property Values in Peterborough

The average price currently paid for a Peterborough home stands at £255,585 (based on all homes within a 5-mile radius of the city centre, using sales data from the last three months).

To delve deeper, we broke down the market by property type:

• Detached houses: Average value of £366,797, contributing a total of £5.959 billion.
• Semi-detached houses: Average value of £236,851, contributing £4.834 billion.
• Terraced houses and townhouses: Average value of £191,039, collectively worth £3.255 billion.
• Apartments: Average value of £95,600, adding £1.065 billion.

What Does This Mean for Homeowners and Landlords?

The substantial growth in property values reflects the strength and resilience of Peterborough’s property market. While national and global economic factors may create short-term fluctuations, property values in Peterborough have consistently demonstrated long-term growth.

Opportunities in the Rental Market

For landlords, Peterborough’s rental market offers significant opportunities. Key drivers include:

• Robust demand due to population growth and lifestyle changes.
• Steady rental yields, providing reliable income and capital growth potential.
• Appeal to young professionals and families attracted by excellent transport links, quality schools, and a strong community feel.

Investing in semi-detached or terraced houses—or even apartments with reasonable service charges—offers a balance of affordability and strong rental potential.

Supply and Demand in Housing

Despite visible construction in some areas, Peterborough faces an undersupply of new homes. This imbalance between demand and supply supports property values and reduces the risk of significant price declines.

Borrowing Costs and Buyer Confidence

While interest rates are higher than in recent years, they remain manageable by historical standards. The Bank of England’s efforts to stabilise the economy may lead to further improvements in borrowing conditions, boosting buyer confidence.

Why Peterborough Stands Out

Beyond financial considerations, Peterborough offers:

• Ongoing investment in infrastructure, schools, and public amenities.
• A vibrant community and attractive lifestyle for residents and investors alike.

Ready to Navigate the Peterborough Property Market?

Whether you're buying, selling, letting, or investing in buy-to-let, making informed decisions is essential. If you’d like to discuss your property goals or have questions about the Peterborough property market, we’re here to help.

Our door is always open for a no-obligation chat. Let’s explore your options in this exciting and ever-evolving market!