Owning a rental property (or properties) in London has had its ups and downs over the last few decades but on the whole the market has grown, providing profitable returns for those who choose to invest in it. There’s plenty of talk in the industry and in the press about what’s next for people who own property in the city and the truth is no one really knows the answer – much of it depending on demand and interest rates. But there are a few, slightly less major reasons to be cheerful in the immediate future:
Prices are on the up
You might have read a story in the paper questioning the sanity of London buyers when a rundown three-bedroom pad in Peckham went on the market for £650,000. Well, that’s the way things are at the moment here in London. High prices in the centre are driving speedy improvements in outer areas such as Peckham, Ealing and Battersea. Also, earlier this month the average house price in the city had reached £404,404 – a 25% increase in one year! Did you know we offer free, no obligation valuations across London? Find out how much your property is worth by getting in touch with us. Call 020 3642 6997 or email email@example.com
I know it can mean disruption at times and it has divided opinion, but the future benefits of Crossrail for landlords are as clear as day – more jobs in the immediate future, meaning more people needing places to live and also more convenience for travellers/commuters/renters when it’s finally finished. Over the course of the entire project it’s thought there will be 75,000 opportunities for businesses, generating enough work to support 55,000 full time employees. Once it’s finished there will be 40 Crossrail stations including 10 new stations at Paddington, Bond Street, Tottenham Court Road, Farringdon, Liverpool Street, Whitechapel, Canary Wharf, Custom House, Woolwich and Abbey Wood. A massive selling point for your new tenants.
In last month’s article, I wrote about a shift in the way people in this country feel about renting these days, bringing us more in line with our European counterparts. With house prices rising, fewer younger people have been able to get on the property ladder, which has meant landlords can be more certain of a rent return on their London property. The number of people living in private rented accommodation has risen from 2.2million in 2002/03 to nearly 3.9million last year. And the number of people renting from private landlords now outstrips those in council and housing association homes for the first time. If you’re interested in purchasing a property, or expanding your portfolio, speak to the Outlet Money team. We are already helping dozens of customers become landlords. Call us on 020 3642 6997 or email us at firstname.lastname@example.org to start gaining financial security from property.
London is one of the best cities in the world (if not THE best). We hosted one of the most successful Olympic Games, our monarchy attracts billions of pounds in tourism each year, we can claim credit for Wimbledon, Big Ben, Afternoon Tea and we have some of the best restaurants and bars anywhere. What’s more, four London homes have made the cut on the Manser Medal’s long-list that was announced recently. The Manser, with which the Royal Institute of British Architects celebrates excellence in housing design, is a category of the prestigious annual Stirling Prize for architecture. Pretty cool aren't we?
The Rugby World Cup
OK, I know, not strictly a game changer when it comes to the property market but there may well be some opportunities to profit from the Rugby World Cup when it ‘kicks’ off in autumn 2015. Two and a half million tickets are being sold for the games to people not just here but from around the world – and many of them will need somewhere to stay. Perhaps you should consider this opportunity for short term rentals? At Outlet, we offer free advice to guide you through successful and profitable short-term lettings.
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