Southwark tops London’s buy to let hotspots
- 10th June 2014
- Buy-To-Let Property News
Southwark, Newham and Enfield are London’s top buy-to-let hotspots according to new research.
Southwark, Newham and Enfield are London’s most lucrative buy-to-let hotspots by rental yield according to recent research by HSBC.
HSBC found that landlords in Southwark could expect a 6.2% gross rental yield on property, with rental yield in Newham (5.9%) and Enfield (5.5%), trailing not far behind.
ludlowthompson’s Q1 buy-to-let review also found that landlords could expect healthy total returns from properties in high-yielding London buy-to-let areas, with annual gross total returns now reaching an average of 18.6% in the first quarter of this year, a significant jump from 15.7% in the fourth quarter of 2013.
Stephen Ludlow, Chairman at ludlowthompson says: “London’s less pricey areas such as Southwark and Newham are fast becoming a haven for young professionals flocking there for affordable accommodation and great transport links. These areas are offering the best yields to buy-to-let investors.
“As the economic recovery continues, job vacancies are quickly multiplying across the capital meaning more and more young professionals are heading to London in search of better career opportunities.
“For buy-to-let investors, it’s worth considering upping their investment in these higher yielding areas in line with the expected growth in demand. As more young professionals move to London over the coming months to start graduate schemes, investors should really consider moving quickly in order to capitalise on the ever growing rental market.”
As the economic recovery continues, job vacancies are quickly multiplying across the capital.
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