The ideal situation for any investor is for the lowest investment possible to ensure a significant return, but these perfect conditions are not easy to find. Opportunities to make a high return from a low investment are very rare indeed, so when one presents itself, it must be given serious consideration. The London Borough of Newham offers the perfect example of this scenario.
Newham is well known as the Olympic Borough, with many of the events which made up the 2012 Games being hosted there. The legacy of this has been the continued growth and regeneration of the area. The increased demand for property in Newham reflects this. Figures indicate that the average value of property in Newham rose by around 25% over 2015 – the second highest level of increase across all boroughs, and 8% higher than the average of the entire city.
Usually, such a significant rise in property value would mean there is little margin for investors to capitalise. This is not the case for Newham. While property values in the area outpaced virtually all other areas of the city, in real terms the average value of those properties is lower than the London average. At present, the average property price in Newham is below £400,000.
The continued regeneration of the borough means there’s widespread agreement that prices will continue to grow. There are many projects underway, most notably the development of Forest Gate as a hub for the high speed Crossrail project, due to be running by 2018.
While demand for property continues to rise across all areas of London, there are certain boroughs where success will be greater for property investors. Newham is just one such borough which we have identified with great potential for outstanding returns on investment. No matter what your requirements or expectations are, we can always be relied on for expert service, providing management, advice and guaranteed rent in Newham and beyond.