Bexley Borough Property News

I was having a chat with a Bexleyheath property investor the other day, when he asked if schools, especially primary schools, affected the local property market in terms of demand from buyers and tenants to a property.  Anecdotally, I have always known this to be true, a good school creates good demand and good demand does affect house prices.  So, I asked my colleagues on the front line, who take the phone calls from people putting themselves on our mailing list and they confirmed that most people cite location as their number one factor. After looking through our mailing list, it confirms there is a close correlation between the high demand areas of Bexleyheath and the close proximity to a good primary school.  Talking to my team in a recent morning meeting, they agreed many people would look to increase their budget quite significantly, whilst others would consider downgrading their property requirements to be close to a good primary school. Those of you...

Last week, one of our local landlords, who owns a small property portfolio, popped into our office on Bexley High Street for some advice as to where he should buy his next Buy to Let property. He already owns properties in Bexleyheath and Erith. In Bexleyheath, the average property price is around £332,500 and the average rent is around £1,360 per month. In Erith, the price of the average property is £255,630 and average rent is £1,080 per month. The annual yield in Bexleyheath is around 4.9% per year, and similarly, in Erith, he could achieve an annual yield of around 5.0%. We know the yields are very similar, so what should be considered next? I asked him what his long term goal was and he was very clear that he wanted to keep on building his portfolio of properties and buy a maximum number of units before retirement. I then asked what was more important to him, capital growth or rental yields? He explained that he had no plans to sell the properties but to have a healthy ...

One of our landlords asked if they should buy a 3 or 2 bed semi detached property to rent out to tenants. The average asking price of a 3 bed semi in Bexley is £373,000 today compared to £303,700 for a 2 bed semi. The 3 bed semi achieves an average rental price of £1,430 per month compared to £1,150 per month for a two bed semi. That’s a yield of 4.5% for the 2 bed against 4.6% for the 3 bed. So they are very similar but you might find that a 3 bed semi is slightly easier to rent out (less void periods) and will be easier to sell in the future. What about capital growth? According to the Halifax Price Index, Bexley has seen an increase in property values of 51.97% between 2009 and 2014. This means that, in 2009, the average price of a 3 bedroom semi would have been £245,440 and the 2 bed semi £199,840. Therefore, the initial extra investment of £45,600 for the 3 bed semi, gives you an extra £23,000 in capital growth and let’s not forget, that according to recent figures, you...

A landlord, who has owned a few properties on and around Bourne Road for the last 15 years or so, came in to our office to discuss the rise and fall of property prices on the street and how this has affected her yield over the years. In 1999, when she purchased her first property near Bourne Road, the average value of a terraced house on the street was £92,900 which had a sharp rise to £177,500 by 2005. This rise in value continued, with average values being £244,900 in 2007, which some would regard as the height of the property boom. Currently the average value of a terraced property on Bourne Road is around £284,400 which shows good recovery from the property market dip, post 2007. When she told me of the rents she had achieved on her properties, they seem to be performing well over the last decade. In 2004 the average rent was £775 per month and is now between £1,150 and £1,300, dependant on the property’s accommodation. Therefore, a landlord could expect an annual yield of...

Here's a property for those of you who want to start seeing returns on your investment without having the need to wait around for refurbishment works to be completed. It's a recently refurbished 2 bed flat on Eversley Avenue, Barnehurst and it also benefits from it's own private garden. With a potential rent of £900pcm you would be looking at a healthy yield of 6% and as it's in good order, with it's own private garden, it should be a very easy one to let. Jennings & Kent in Erith are the agents dealing with the sale. Here are the details on Rigtmove:  http://www.rightmove.co.uk/property-for-sale/property-47754655.html

Crossrail is coming to Abbeywood!!! I know this is old news, which most of you are aware of, and many investors have concentrated their efforts on investing in Abbeywood in anticipation of this; resulting in the Abbeywood property market soaring over the last couple of years – Zoopla estimates a 20.5% increase in property values in the last two years. However, this has also created a buzz elsewhere. With a new two-level station being built (planning to open its doors in 2017) and the faster link resulting in journey times across London being cut dramatically, Abbeywood is set to be driven into a different housing bracket. However, just like the ripple effect, Belvedere has also benefited from these new plans. Although Crossrail isn't coming to Belvedere, its railway station is just one stop from the  Abbeywood Crossrail Station and Zoopla have estimated that Belvedere has benefited from an increase of 17% in property values in the last two years. One trick of the trade i...

This 3 bedroom split level maisonette is an ideal Buy to Let investment. It's on with Anthony Martin with for £160,000. With potential rent of £1,000pcm you would be looking at a yield of 7.5%. Belvedere seems to be getting attention from Investors who may not be able to find a good deal in Abbeywood but would like to benefit from the new Cross Rail coming to the area. If you're interested then get in touch with Anthony Martin soon as I can't see this one being on the market for long. Here is the property on Rightmove:  http://www.rightmove.co.uk/property-for-sale/property-47433415.html