Zoopla: could a good local pub increase your house price?

It turns out that, as far as your house price is concerned, a bit of a draught is no bad thing.

Of all the factors that influence buying a home – from house prices, to mortgage rates and how a house name impacts its value – research from Zoopla shows that one in particular has a significant proportion of Brits under the influence.

The property search site published data today showing that almost one quarter (24%) of UK homeowners factored in their house’s local pub when deciding where to buy their home. 42% of all homebuyers said that the quality of a local pub was an important element in the homebuying decision, with this figure rising to 48% among men.

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Zoopla’s findings are based on a survey of over 2,000 UK homeowners aged 18+ conducted by Mortar Research. It found that over a third (36%) of Brits wouldn’t even consider putting an offer in on a property that was too far from its local. One mile appears to be the furthest that most homebuyers will consider stumbling back, with the ideal distance being approximately 0.7 miles (roughly a 13-minute walk).

Dan Copley, consumer expert at Zoopla, said that “the research shows what a surprisingly strong role the local pub plays in the home-buying process – whether that’s to get a feel for the local community, discuss if you want to put an offer in, or even a as decisive factor in going ahead with a purchase”.

The findings are no surprise to Emma McClarkin, CEO of the British Beer and Pub Association. “Being near a good pub is as important as being close to any other local amenity and it is great to see this recognised in the Zoopla guides,” she said.

House prices are on the rise, and given the increasing cost of moving house homebuyers will want to know they’re making a sound investment when considering where to buy. Here’s why local, local, local could be one of the most important house features for prospective buyers to consider.

How does the local pub influence house buying decisions?

Visiting the local pub has become part of the house buying process. 36% of respondents said that they visited the local pub before or after a house viewing.

Indeed, given previous Zoopla research that showed house buyers spend, on average, less than 20 minutes assessing a home’s features before deciding to buy, it seems many house buyers spend more time in their prospective local than their prospective home.

Over half (53%) of those who visited a pub after viewing a property said that they made the decision to purchase while at the pub, with 44% placing the offer on their future house from the public house. This equates to nearly one in five of all homeowners (18%).

Among this group, half (49%) admitted they’d had a drink or two before putting in the offer; the average amount consumed coming in at 2.1 drinks. 11% said that they had consumed four or more before putting in the offer. Sometimes it takes a bit of Dutch courage…

Of those that visited a pub before or after a viewing, three quarters (76%) said that they do so because they believe that the local pub reflects the local community. Nearly half the group (49%) felt that it is important to find places to socialise locally.

“A good local offers so much more than just a quality pint; they can boost house prices and are also a sign of real social value in their communities,” said McClarkin. “It’s also a place to meet new neighbours and friends, catch up on all the local news, and tuck into some delicious pub grub when you can’t face the washing up.”

How do local pubs impact house prices?

Zoopla and Mortar’s research didn’t directly assess the link between a local pub and house prices. While there hasn’t been a great deal of research into the link in recent years, a comprehensive study from Northumbria University, published in 2020, found “a strong positive relationship between an increase in the number of pubs and an increase in house prices”.

The effect was particularly strong in rural areas, the study showed. In these areas, “preserving pubs from closure can help keep house prices stable and may even increase the value of localised house markets”, according to professor Ignazio Cabras of Northumbria’s Newcastle Business School.

Mark Lee, head of Canary Wharf, Aldgate and Wapping sales at Knight Frank, tells MoneyWeek that “while a good local pub won't directly increase your property's value, it's a crucial hub for many Londoners.

“We always recommend that buyers check out one of the local watering holes for a drink and feel out the atmosphere. A well-loved local boozer with character and friendly locals can give you a small insight into the community.”

What do house buyers look for in a local pub?

A good selection of alcoholic drinks was the most popular aspect of a local pub, according to Zoopla’s survey, with 62% saying this was important to them. Somewhat alarmingly, this scored even higher than basic hygiene, with only 60% of respondents saying it was important that a pub was clean.

Source: Zoopla

56% of respondents said it was important for a pub to be family-friendly, although only 21% said the same for it being child-friendly. A good Sunday roast was the fourth highest-rated aspect of a pub, with 43% of home viewers on the lookout for this.

The same number of respondents (22%) rated sports event coverage and good non-alcoholic drink options as important factors in a local pub.

Is your local under threat?

While Zoopla’s findings underscore the importance of pubs to homebuyers and local communities, they come during a challenging period for the industry as a whole.

Real estate intelligence company Altus found that 50 pubs closed down every month during the first half of 2024. While chancellor Rachel Reeves reduced Alcohol Duty rates on draught products by 1.7% (equating to approximately one penny per pint) in the Autumn Budget, many in the industry believe that the cut is insufficient.

One pub, the Flying Duck in Ilkley, derided the “nominal” measure by offering a penny to customers for every pint they purchased.

“Pubs are vital to the lifeblood of our communities and the last thing any new mover wants to see is their local close their doors,” said McClarkin. “We and our Long Live The Local campaign stand ready to help the Government deliver the full support that’s needed for our beloved locals to keep thriving and remaining at the heart of communities.”

With the number of homes near a pub looking set to continue sliding, Copley suggests that “the desirability, and perhaps even value” of homes with a thriving local could benefit over time.