A study by the Bank of Scotland has opened a very interesting topic of discussion. The report highlights the potential to save money on the cost of housing if you are willing to commute from 30 minutes a day up to one hour. Even though this will make your day a little longer with potential savings in the tens of thousands of pounds perhaps it is worth looking into?
Actual figures on the ground
Commuting is to some extent an everyday occurrence for many in the UK and a look at the Scottish market opens some interesting topics of debate. The Bank of Scotland found that the largest potential savings per minute of commuting occurred in and around Edinburgh. Just a 30 minute commute each day would save on average £86,371 on the cost of a home compared to accommodation actually in Edinburgh itself. For example, the average house price in Edinburgh is £243,200 while local commuting towns such as Dunbar and Livingston have a much reduced average cost of £156,829. This equates to around £2800 per minute of commuting.
The situation in Glasgow is still enticing but not as attractive as the Edinburgh figures. The average property in Glasgow city centre costs around £171,000 with neighbouring Greenock and Motherwell showing average prices of £148,614. The potential saving for a 30 minute commute to Glasgow is £22,286 which equates to a saving of £746 per minute of commuting.
Those who follow the Scottish property market will be well aware that Aberdeen is dominated by the oil and gas industry. The average city home costs £195,000 and while there are potential savings of £40,000 available in nearby Inverurie and Insch these are around one hour’s commute from Aberdeen. So the potential savings in this region are only £660 per minute of commuting. The situation in Aberdeen is quite fluid because property markets are starting to recover in line with the oil price with Aberdeen city prices likely to recover quicker than neighbouring towns.
Travel costs in and around Glasgow, Edinburgh and Aberdeen will vary but if you work on a worst-case scenario of around £2000 a year for a 30 minute daily commute this will not be too far off the mark. So even after taking into account travel costs there are significant house cost savings for those willing to extend their day just a little. In many cases, it can take just as long to walk home even when living in the city centre or indeed when catching the local public transport.
Research, research, research
The central belt of Scotland which takes in Stirling, Dunfermline and Falkirk has long been a magnet for those looking to save money on property prices and willing to commute to high employment areas such as Edinburgh and Glasgow. If you’re looking to buy a property anywhere in the UK you should research the local transport network, inner-city property prices and those on the outskirts and work out any potential savings. You might find potential savings in the tens of thousands of pounds if you’re willing to commute just 30 minutes each day to and from work. Now that is worth considering!