Areas - Prices - Number of houses

LilPretty

hi all,

wondered if anyone could assist.

i compared 5 areas via right move (exactly same criteria, just changed locations) and the number of houses available for sale is vastly different

hornchurch - 130+
loughton - 22+
stratford - 1+
gidea park - 20+
grays - 91+

as stated above the search criteria was exactly the same and just a change in location.

my question really is - if you are looking to buy for the purpose of a future re-sale / rental income, which area would you consider and why?

also why does hornchurch hold such a high number of properties for sale? does it mean its the better area or vice versa to invest in?

happy to hear from you all...

DaftyDuck

What do you believe those searches actually show? Why do you believe you have covered similar or representative proportions on each search?

hazyjo

Up to what price? You're likely to get a much cheaper house in Grays than say Loughton!!!! Of course there will be more for sale. Plus areas obviously vary in size. Some areas like Stratford will be pricey but with say loads of flats rather than 3 bed houses. Hornchurch is likely to have way more 3 bed semis than it would flats. Family type area rather than singles or investors like Stratford.


Really not much to do with investment.


Are you considering buying a BTL and want to know what area to buy in that may go up the most in the future? That's very vague without far more to go on.

LilPretty

thanks for the responses..

my search was for prices btw 350k - 600k, houses, min of 3 bed, end terrace / detached.

at the moment - (my discussion with my friend which has spurred this question on here - as i do not have the answer) is which area is best to invest in .

the usage of the property at the moment has not been decided (buy to let or residential)

but maybe i should go a bit further - if you had £500k (deposit + mortgage offer) and you could invest in property which area would you consider and why?

the end point goal will be (should she need to sell or rent it out for any reason - its easily achievable and profitable)

now i have been to hornchurch and yes you are right (the space for sale is way bigger than loughton or stratford) but if she buys now and needed to sell in 1yr.. 5yrs.. whenever - she would join the pool of 130+ houses in hornchurch or 20+ houses in loughton.

what is the best area and why to invest the £500k

again - thank you all

hazyjo

You're trying to run before you can walk. You have lots of research to do re BTL and investments. I would not be investing £500k-ish at the mo. Prices have dipped slightly. In a rising market, yeah great, but not a static one. Long term investment, maybe. But not if she may need that money in the next year or three.


Buying into any property is unlikely to give much in the way of a return after say one year! Lots of associated costs which are likely to eat any profit. (Saying that, my last house went up around £100k a year from 2013-2015. That was in E4. Been static for a while though and people are cautious.)

LilPretty

hazjo - thank you for your honest and mature response.. really appreciate it.

i have been researching for about 2yrs or more (saving also).. i was about to get on the train earlier so i gave a quick (not to detailed information)

the plan is not to move within 3yrs (at the barest minimum - God forbid any unforeseen accidents) it really is a plan for long term (hopefully the need to sell will be to either buy bigger / more expensive / etc...

i just wanted information on why one area could have such a high number of property for sale compared to others and should i decide to invest in that area, is it a possibility i may find myself stuck with a property for a long time etc..

i am looking at the best options for my cash - and your response abt the E4 area seems to have nailed it for me.

Cakeguts

Some places have more flats than houses so on your search criteria there would be fewer houses for sale because there are fewer in the area. Also depends on when most of the properties were built in the area. Modern properties tend to be flats 1930s properties tend to be semis.

hazyjo

LilPretty wrote: »

i am looking at the best options for my cash - and your response abt the E4 area seems to have nailed it for me.

I bought in Highams Park, E4 in 2006 for £227,500. Sold in 2011 for £1k more - and I'd spent loads on it. New kitchen and all appliances, some flooring, new roof and guttering etc, new posh shower, and some decorating and updating.

Recession had hit. In the first year, it had gone up to nearer £300k, but dropped back down again over the next few years. Nothing is guaranteed when it comes to property.

Bought again in E4 (North Chingford, very different area) for £274k in 2013. Sold in 2017 for £515k. For the last year of that though it hadn't risen. The previous years had gone up loads.

Moved to Leigh-on-Sea where prices have shot up over the same period. It happened over much of London and Essex so don't presume E4 was an exception. Also don't presume it'll keep rising. It won't. Leigh is hugely popular and I can only see it going one way. Very desirable area.

North Chingford ("NC") used to be loads more desirable than Highams Park ("HP"). It's not now. HP is now the popular one (as I always thought it would be). People have been priced out of Walthamstow, and HP is a small but villagey feeling area just outside, so it's felt the ripple effect. Plus for those who couldn't afford the more desirable NC, they went to HP. It's made it as pricey as NC now. It's had a bit of a facelift and there's still lots planned for its future. If you were insistent on E4, I would buy in HP over NC. There are roads to avoid though.

South Chingford has always been far less desirable. The top half of it - from the A1009 upwards to Ridgeway has improved loads, but it's much further from stations. E4 is a large area.

Try to buy a semi or end of terrace over terrace. Try for parking, although unlikely. Avoid shared drives as they can limit buyers.

You seem to be looking in areas that have already had their big price increases. Up and come rather than up and coming. I would try to buy in places that are likely to increase in popularity, not the already popular ones (although they are likely to hold their value well).

I've not really been following the market outside of certain areas I'm interested in. I have noticed improvements to Gants Hill (once a very popular area but gone downhill as of late) and Benfleet. But I wouldn't have thought prices in either were likely to shoot through the roof.