As we celebrate Queen Elizabeth’s reign as the longest serving monarch in our history, we thought we’d take a look at her property portfolio and how well property surrounding each residence has done over the course of the last year.
When Queen Elizabeth was crowned in 1953, the average house price was just a little below £2,000, today that will only contribute towards the cost of Stamp Duty. This said, the escalating price of UK property is unlikely to worry Queen Elizabeth, as half of her portfolio is state owned and inherited through previous royals.
Regardless, the presence of a royal property doesn’t necessarily mean a guaranteed return on a property investment in that area.
Buckingham Palace, the most famous of the Queens residence, and probably the one she frequents more regularly than others, has in fact seen the value of property in the area decrease over the last year. Now don’t get us wrong, we aren’t valuing Buckingham Palace or taking a stab at the movement of that value. But the average property in the SW1A postcode has seen a price decrease of 1% in the last year, roughly £11,000.
This said with an average house price in the area of £1.7m, £11,000 is likely to go unnoticed and as the most expensive of the Queens portfolio properties, it remains the jewel in her crown. Our latest Prime Central London Hotspots Index has charted that post-election, demand for property in London’s most prestigious boroughs has begun to creep back up. So give it another year and Elizabeth should be back in the green with Buckingham Palace.
When it comes to the Queen’s privately owned properties, she seems to have invested wisely. Sandringham House in Norfolk is situated on 200 acres of land a stone’s throw from Sandringham Village. The price of property in the area has climbed 3% in the last year, with a house now costing £225,000 on average, although that will probably only get you a room in Sandringham House itself, if at all.
Her estate in Balmoral, that includes Balmoral Castle and both Delnadamph and Craigowan Lodges, has also enjoyed an increase of 3% in value in the last year. Our latest Property Hotspot Index shows that demand for property in Aberdeenshire has remained steady since December (15%), although it does place outside the top 100 hotspots in the country. So Queen Elizabeth may want to sit on her Balmoral estate a little longer before cashing in, to make the most of escalating house prices.
Our advice to her would be to sell of Windsor and Hillsborough Castles now to cash in and put something away for retirement and sit on the rest until Buckingham Palace has recovered the small value lost and the others have increased further in price.