In Portico’s recent research for potential property hotspots in 2020, it listed eight key areas to consider.
The results show that East London has a lot to offer for property investors this year. Six of the top boroughs are located in this area, including Barking & Dagenham Newham, Tower Hamlets, Redbridge, Havering and Ilford.
Portico highlights that this region has seen a significant amount of regeneration, as well as becoming a sought-after location for homebuyers, investors and tenants. House prices, rental demand, and population are forecast to see extensive growth.
Affordable properties & lucrative rentals in Barking & Dagenham
- Barking & Dagenham has the most affordable average house price on Portico’s list, at £318,527.
- The average rental yield in the borough is the second highest on the list at an impressive 5.4%.
- Transport is appealing, with easy access to central London via the District Line and a new rail link also being constructed to further improve connectivity.
- Major investment and regeneration projects are also on their way, which are expected to boost house prices and population growth.
The most affordable places with average prices under £400,000
- Sutton is second on the list for most affordable, with the average property price of £387,286.
- It is located in Zone 5, within close proximity of central London, while being on the doorstep of the attractive Surrey countryside.
- Sutton is deemed to be an especially attractive place to live, as it has retained a village feel that can be hard to come by in Greater London.
- Havering is another borough worth considering, with an average property price of £392,031. Rental yields are also at a healthy 4.9%.
- Portico points out that Havering has become a hub for start-ups and expanding businesses.
The most lucrative rental yields
- With an average rental yield of 5.5% and average property price of £421,226, Ilford may catch your eye. Transformations are underway to make it into a top commuter location.
- Not far behind is Redbridge, with an average rental yield of 5%. This is a particular green area of London, with award-winning parks and a forest.
- Redbridge is also known for its schools, with 14 primary schools currently rated as Outstanding by OFSTED, Portico has researched.
- Rental yields are also looking good in Newham, at an average of 4.9%. The area has seen a significant amount of regeneration and growth since the 2012 Olympic Games.