WE all like to be beside the seaside - and it seems we are more than willing to stump up the cash for the privilege.

House prices in many coastal resorts in England and Wales have been rising at more than 10 per cent a year for the last seven years.

These latest results from the Halifax will bring a smile to the faces of all those living in resorts such as Bournemouth and Lymington where prices have doubled.

And they also show that the long-standing love affair with the desirable Sandbanks is still red hot.

Home of Portsmouth Football Club boss Harry Redknapp and Spurs and former England star Darren Anderton, Sandbanks has kept a firm grip on the top slot for Britain's most expensive seaside location.

The average price of a house in Sandbanks is some £403,594 - well ahead of its nearest challenger Lymington, where the average price is £273,326.

In the north of the country the picture is more bleak and only three out of 11 seaside towns did better than the regional average of 50 per cent.

The housing market is showing signs of picking up despite prices remaining flat during August for the third month in a row, with the average price sitting at £135,200.

People planning to sell their homes are also splashing out on DIY projects in a bid to increase the value of their property.

The Alliance and Leicester has reported that those moving house during the next year plan to spend an average of £2,155 on home improvements in the next three months - nearly double the £1,243 other homeowners intend to spend.

Christopher Frost, managing director for Frost and Co, said: "A lot of people want to move to the coastline because of the lifestyle.

"Sandbanks is pretty glamorous and the majority of people who move there are retired or looking to retire. It is a very nice clean part of the world."

Mr Frost added: "The demand will underpin the prices locally.

"Over the next year or so estate agents may find difficulties in other parts of the country but in coastal towns such as Bournemouth and Poole the market will continue to prosper."