Unkempt properties in your neighbourhood could push down the price of your house, one home insurance company has warned.

Liverpool Victoria has advised potential buyers to check the state of surrounding houses before signing up for a new home, since one untidy house in a street can bring down the value of surrounding properties.

Across the UK, homes lose a total £71 million in value because of unsightly homes in the area, according to research from the insurer. Dilapidated housing can pull property prices down by 10%, whilst unkempt front gardens can knock a whopping 22% off the value of neighbouring homes. Peeling paint can devalue homes by 19%, with discarded furniture taking up to 10% off the asking price.

A spokeswoman from London Victoria said, “The surprising thing has been the amount of money that potentially you could lose, and also the fact that even on your road having a property that is run down, even with 50 metres of it, it will have an impact on your property.”

“If you are looking to move, it’s worthwhile having a look up and down the street and not just at the property you are looking to buy,” she added.

Poor housekeeping habits by neighbours can also damage the value of a property, such as blocked drains which lead to floods, the insurer warned.

This entry was posted on Tuesday, March 31st, 2009 at 3:41 pm and is filed under Housing Market, Mortgages. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.