Hackney Wick has grown into a property hotspot over the last 6 years. Gentrification began in the lead up to the 2012 Olympics, transforming the image of the area. The arrival of a wave of artists priced out of other areas also had a huge benefit. Old warehouses were perfect for transformation into new studios. This gives the area a creative, arty vibe.
Now the area is a prime hotspot for younger first time buyers and investors who want to take advantages of the rising prices. FTBs make up around 90% of purchases as they look for lower prices per square metre than they can find in other areas in Hackney Borough.
Huge growth since “year zero”
Investors who got in early will have seen the best rewards for their money. According to figures from Hamptons International, there has been a 64.3% increase since 2012. In the last few years the market has cooled a little but there are still increases. For example 2015-2016 saw a 12.4% jump. This slowed to just 3.5% in the following year but this came at a time of uncertainty in the market.
Currently there are a number of projects underway to create more new homes in Hackney Wick. A number of these properties are well priced and qualify for the Help to Buy Scheme. This will keep first time buyers interested.
In addition many of the new developments also come with commercial space. This attracts more businesses who want to cater for the younger crowd. Some developers even commit to keeping rates affordable to allow businesses to thrive. There are even some that won’t allow big companies to take up space; instead they want brands that reflect the area.
Finefair works all across the Borough, providing useful services for investors and landlords. One thing we can do is arrange council leasing Hackney based clients will appreciate. The service provides some fantastic assurances, including protecting rental income for the whole duration of the scheme.
If you are considering your options we urge you to consider council leasing. Hackney Wick is a particularly hot area and some people may choose to rent here first before looking to get on the ladder. This can create some good opportunities.
Investors can contact us if they have any questions. We are always pleased to offer advice.