A coastal neighbourhood in Dorset has been named the UK’s most expensive seaside location, with properties selling for an average of £1.58million.

Sandbanks, a small peninsula in Poole, is one of the wealthiest areas in the country and is known for its luxury homes, award-winning beaches, and stunning sea views.

According to Rightmove, the area continues to attract high-end buyers, keeping house prices among the highest in the UK.

The tiny strip of land on England’s south coast has long been associated with wealth, with limited space pushing prices sky-high.

Many homes have private beach access, panoramic sea views, and state-of-the-art interiors, making Sandbanks one of the most sought-after addresses in the UK.

House prices in the area have soared in recent decades, with the neighbourhood earning the nickname “Britain’s Palm Beach” due to its reputation as a millionaire’s playground.

In 2005, Sandbanks was reported to have the fourth-highest land value per square foot in the world.

Despite having just 800 households, the area attracts wealthy residents, second-home buyers, and international investors, driving up demand for its luxury properties.

Aside from its seafront mansions, Sandbanks is famous for its beach, which has held Blue Flag status for over 30 years.

The soft golden sand, clear waters, and unspoilt views make it one of the best beaches in the UK.

Residents and visitors can enjoy a range of activities, including watersports, sailing, and beachside dining. The area is also home to the Royal Yachting Association’s Southern Headquarters.

Sandbanks is connected to Studland by the Sandbanks Ferry, providing easy access to the Jurassic Coast and the Purbeck Hills, both popular with tourists.

The neighbourhood also has a rich history, with the Haven Hotel, built in 1887, once serving as the base for wireless radio pioneer Guglielmo Marconi’s experiments.

But Sandbanks wasn’t always a place for the rich and famous. In the late 19th century, it was a remote and desolate headland, with only a lifeboat house and a row of coastguard cottages.

It wasn’t until the early 20th century that the first residential plots were auctioned off, attracting people looking for seclusion and a connection to nature.

Many of the original homes were simple wooden shacks, used as holiday retreats.

The construction of the Sandbanks chain ferry in 1926 increased its popularity, and by the 1960s, development accelerated, turning the area into one of the most prestigious addresses in the UK.

Today, strict planning regulations help preserve Sandbanks’ character, with restrictions on building height and density to maintain the coastal charm.

While Sandbanks is known for its multi-million-pound mansions, it also remains a popular holiday destination, attracting millions of visitors each year.

Tourists can enjoy:

• Sandbanks Beach – A wide, sandy beach with a gentle slope into the sea, perfect for families.
• Water sports – Activities like kite surfing, paddleboarding, and sailing.
• Beachfront cafés and restaurants – Including the popular Rick Stein Sandbanks restaurant.
• Mini golf and volleyball courts – Along the seafront promenade.

There is also plenty of parking, public toilets, and accessible beach facilities, making it one of the best-equipped seaside locations in the country.