Crossrail Postcode Property Outperforms Wider London Markets

Research from London lettings and estate agents Bentham and Reeves has evidenced that Crossrail’s opening boosted property markets near stations along the route.

By analysing property price growth in postcodes along the rail line, they discovered that while the London property market as a whole has been challenging over the past two years, affecting buy-to-let property investment, locations with a Crossrail station have primarily been shielded from the decline in property prices.

They found that postcodes home to Crossrail stations along the entire route had exhibited an average growth of 3.3% since May 2022, when the line opened. This is significantly higher than the -2.5% negative growth observed in the wider local authorities where the stations are located.

In order to source this data, Benham and Reeves looked at price growth in the postcodes of each of the 41 Crossrail stations and then compared the figures to the wider London property market and the local authorities where the stations are situated.

This data further compounds previous findings suggesting that enhancing travel links and transport-based regeneration can have a positive impact on the local property market. Not only can this affect property prices, but it can also encourage tenant demand and lead to higher rental prices.

Director of Benham and Reeves, Marc von Grundherr, commented: “Ever since it was first announced there was a buzz about Crossrail and areas due to benefit from the scheme started to see an almost immediate uplift in property market activity. While there’s been a few bumps in the road, or line as it were, it remains a fantastic draw for potential buyers who value the ability to traverse the capital and beyond with greater ease.

Of course, when it was first announced, no one could have predicted that higher mortgage rates and wider economic angst would result in the lethargic rate of house price growth seen across the London market over the last few years.

However, in this respect, Crossrail has certainly been a silver bullet, with postcodes home to a station largely outperforming the local authorities in which they are located and many posting positive house price growth versus the declines seen across the wider area.”

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