London homeowners are having to pay a staggering premium for a parking space when purchasing homes in the capital, with far fewer houses coming with a parking space included.
According to the latest reports released by Direct Line’s SELECT Premier Insurance branch, the average city in the UK sees as many as 67 per cent of purchased homes come with a car parking space bundled in with the price, whether this is a driveway, garage or on street parking facility.
However, for those buying in London, this figure takes a staggering fall, with the number of homes coming with a parking space included in the overall price falling as low as 18 per cent.
Direct Line said the shortage of parking spaces that developers can build spaces on means that there is a low number where parking is part of the overall package. Those who do opt to purchase a separate parking space are expected to pay an average of five per cent of the price of the property on top of their home's price.
However, this can rise even higher in areas where parking spaces are even fewer. The example given by the company was for homes in Battersea, where parking spaces were being offered at £65,000 on homes that cost £500,000; some 13 per cent of the overall price.
"Restrictions on the number of parking spaces developers can build to accompany new properties make these slots a hot commodity carrying a premium price point. In many new developments, those purchasing studios or one bedroom homes are denied the opportunity to purchase a space as they are reserved for larger properties," said Nick Brabham, head of SELECT Premier Insurance.
"As larger scale residential developments are built in urban city centres, traffic volumes will become an increasing issue and planners may restrict the construction of new parking bays even further, making it very difficult for homeowners with vehicles," he added.