Having a dedicated home office could boost a property's value by as much as £40,000, according to new research from estate agency Benham & Reeves. The estimate is based on the average UK house price of £270,873, as reported by Nationwide's House Price Index.
The trend gained momentum after the first pandemic lockdown in 2020, with many employers now adopting hybrid working models. Figures from Zoopla show around 82,000 residential properties listed in January 2026 feature an office. The British Business Bank also found that 61 per cent of one-person businesses operate from residential premises.
Marc von Grundherr, director of Benham and Reeves, said a dedicated office space “is no longer a ‘nice to have’, it’s become a highly sought-after feature”. He added that homes offering a genuine workspace “tend to stand out far more strongly in the market”.
Bryn Nettle of property consultancy Strettons said a well-designed garden studio with power, heating and broadband could add £20,000–£25,000, depending on location. However, he noted that homes with offices do not necessarily sell faster than those without.
Laura Dam Villena of Cluttons observed that in prime central London, the post-pandemic rush for home office space has slowed as companies enforce stricter return-to-work policies. She expects this trend to increase in 2026.
Tax considerations also apply. Lisa Wilson of Cowgills warned that employees can only claim working-from-home tax relief under specific conditions, and building a home office may have capital gains tax implications.
