Although London house prices have stagnated and even fallen in a number of boroughs, general living costs remain considerably higher compared to counties around the capital.
City workers with families are beginning to identify Colchester as an ideal area to raise their children whilst having strong connections to central London.
There’s a good reason why London workers are moving out to Colchester Essex. With some of the fastest growing property prices in the UK as well as a strong, growing economy, it’s becoming a highly sought area. Whose buying property where?
“Colchester has got all the ingredients needed for a good house price growth: a booming local economy, a great number of amenities and fantastic day and night economies,” said Alex Leader, associate director of residential development sales at Savills.
He adds, “It has redeveloped its town centre and has a much more appealing high street now. There is quite a lot of industry in retail parks, great train links to London, so I am not surprised. It is a bit of a winner.”
Like other towns and cities in the area, Essex is currently enjoying a property market boom. Colchester boasts strong train connections that gets London commuters into London Liverpool street within 50 minutes.
Recent figures show that not only is Colchester a popular property hotspot for families based in London, it’s also the top area to invest in buy-to-let based on capital growth, transaction volumes, rental yield and rental price growth. Highest new-builds since 2007.
LendInvest research shows that Colchester is becoming an increasing property destination for investors looking to purchase properties for letting purposes.
“Striking the right balance when it comes to making property investment decisions is crucial: however, the current limitations in house price growth mean fewer opportunities in the market to perform a traditional ‘flip’ of a property to get a return,” explains Ian Boden, sales director at LendInvest.
“We can expect to see investors taking longer-term positions in property as they look to yields and rental price growth as valuable metrics in the short-term to determine the profitability of an asset,” he adds.
In the last five years, different property types across Colchester have experienced a fast-growth rate compared to the rest of the UK, whilst showing no signs of slowing down whilst other regions are hit with Brexit uncertainty. The future of property development in London.
Recent figures from the Land Registry show that detached and semi-detached properties have experienced the fastest property growth rates compared to terraced houses and flats. City workers moving their families to Colchester.
Property development remains a fantastic opportunity for potential investment. At Hunter Finance, our development finance is designed to be fast and easy, given you the necessary funds quickly to begin your development project. Read more on development finance.
If you have any questions about our property development finance, contact us on 01825 749721 or get in touch with us here. Interested in becoming a successful property developer? Read our guide on how to do property development right.
Hunter Finance offers fast and flexible finance to property developers all over Essex.
We lend to a wide range of people, including:
60% of the commercial value of the properties on completion plus 100% of the build costs. You can borrow between £100,000 and £2.5m.
If you would like to find out more about our property loans for your project, please call 01825 749721.