It doesn’t. At least not directly. But it could help you in quite an unexpected way.
The last two years have been tough for most of us. We’ve been affected by global events, rising living costs, and economic challenges that caused house prices to fall.
Last year in Lincolnshire, the value of homes decreased quite significantly towards the end of the year, but due to earlier increases, homeowners found their property values roughly the same at the end of the year as they were at the beginning.
Now, more than ever the trend seems to be for homeowners to improve or stick with what they’ve got, rather than selling up and moving on, not least due to the unpredictability of mortgage rates. Think Kirstie and Phil’s Love It or List It series, where homeowners either upgrade their current property and stay, or list it for sale, with the help of the dynamic duo.
In a blog ‘Lincolnshire House Prices 2023’ published in Mount & Minster (December 2022) they were predicting that the Bank Of England (BoE) Base Rate (BR) would increase to over 5% by the end of 2023. As we approach September and the next ‘decision day’, we can see that their prediction was correct. At the time of writing, the base rate stands at 5.25%, which is the highest it’s been since February 2008.
You may be wondering why on earth we’re talking about this here. Read on, and you’ll find out…
Mortgage Rates and Property Prices
The expectation is that the BoE BR is set to increase again before the end of 2023, with the prediction being that we’ll end the year at the rate of 5.75%. Although this might initially sound like bad news, it’s important to consider that for people looking to move to a bigger home, it could be beneficial.
Here’s why: if house prices drop by 12% in 2023, those moving to a more expensive property will save more on their new home than they’ll lose on their sale. Mount and Minster provide a breakdown comparison of house prices in Lincolnshire in 2021 and 2023 which explains this well.
This shift in house prices could make moving to a larger home more affordable than before and if the home you’ve got your eye on doesn’t have a driveway, that 12% fall in prices could be the difference between having a driveway and not having a driveway.
Even if that’s too much of a worry, upgrading and extending your current property, and installing a new driveway, could be a great compromise.
Now you might be thinking, “I already know that a driveway can add value to my home (having read our previous blog) but is it really a wise investment in today’s economic climate?”.
At ALS Driveways Lincoln, we think it is!
Let’s look at the facts.
Why the Quality of Your Driveway Matters
A driveway isn’t just about aesthetics; it’s about functionality. It provides secure off-road parking and, particularly in busy areas, can be a substantial asset. Industry expert Sarah Beeny, property developer and presenter of Channel 4’s Property Ladder, has said, “Off-road parking in some city locations can add as much as 20% to the value of a home” but suggests that …”many homeowners neglect it”.
If we translate that to the property market in Lincolnshire, that’s a tidy sum in property value.
It’s not just a slab of concrete, a bit of block paving, or a stretch of tarmac. It’s an introduction to your home. A professionally installed driveway not only increases aesthetic appeal but also ensures longevity and reduced maintenance costs in the long run.
What’s the ROI on a Quality Driveway?
The precise ROI figures can vary, but the consensus is clear – a professionally installed driveway can offer substantial returns. The Property Price Advice website suggests that a well-maintained driveway can increase a home’s value by up to 10%. Their direct quote, for the curious readers, is: “Adding a good quality driveway adds between 5 percent and 10 percent to your home…”
Why Professional Installation Matters
Let’s be honest; there are myriad DIY projects that homeowners can undertake to enhance the charm of their homes. But when it comes to driveways, it’s a different ballgame altogether. The benefits of professional installation include:
Durability:
No one wants a driveway that’s prone to cracks, potholes, or wear and tear after just a few seasons.
Material Expertise:
Professionals, especially with years of experience, know which materials are best suited for the Lincolnshire climate.
Safety:
A correctly installed driveway ensures that the surface is even, preventing potential tripping hazards.
Introducing ALS Driveways
For over two decades, ALS Driveways has been at the forefront of providing impeccable driveway installations in the Lincolnshire area. Why trust us? Here’s why:
Experience:
With over twenty years in the game, we’ve seen and done it all. That’s two decades of trust, reliability, and craftsmanship.
Testimonials:
Don’t just take our word for it! We have hundreds of testimonials from satisfied customers who’ve seen firsthand the transformative power of a well-installed driveway.
We understand that financial concerns can sometimes be a barrier. This is why we’ve partnered with a reputable finance company to make the installation process as smooth and hassle-free as possible.
We Care:
At ALS Driveways, every driveway isn’t just a project. It’s a commitment. A commitment to enhancing your home’s beauty, value, and functionality.
The Bigger Picture
Let’s circle back to your initial concern: the return on your investment in today’s economic climate. Understandably, homeowners today are more cautious than ever about where and how they invest in their homes. Yet, certain investments, like a quality driveway, will always withstand the ebb and flow of economic uncertainties. It’s about laying a foundation (quite literally!) for the future, ensuring that your property remains attractive to potential buyers or simply continues to be the pride of your family.
Conclusion
The adage “You never get a second chance to make a first impression” is particularly true when thinking about the impact of a professionally installed driveway. The driveway isn’t just a functional element of your home; it’s a statement, a welcome mat, a prelude to the warmth and comfort inside.
Our message is simple: yes, the economic climate is unpredictable. But investments like these are about playing the long game. And if you’re looking for a partner in this journey, one with experience, credibility, and genuine care for your home, ALS Driveways is just a call away.
Let us help you make that impactful first impression. Get in touch today!
