SaffronWalden or Haverhill - JUNE 14 EDITION

Where is the best place to buy a rental property?

Over the last few weeks, a number of first time investor Landlords have contacted me for my thoughts and opinions on what (and what not) to buy.

I give an objective view on the property markets of Saffron Walden and surrounding towns & villages within 15 miles.

Some Landlords want high yields, others best capital growth and some aren’t sure what they want.

I don’t charge for my advice, even though I am exam qualified and have over 10 years’ experience.

I take the view that if we build a relationship based on mutual respect then you might consider allowing me to look after your property for you, but there are no strings attached.

You get honesty and professionalism no matter what.
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Saffron Walden or Haverhill?

EXPERT ADVICE TO HELP YOU CHOOSE YOUR IDEAL BUY-TO-LET INVESTMENT*

Last week a landlord with a small property portfolio contacted me. He has property in both Saffron Walden and Haverhill and is looking to add another. The landlord wanted my opinion on the property market in both towns. This is what I told him.

 

Looking at the Haverhill area (CB9), the average property price is £203,500 and the average rent £950 per month. In the Saffron Walden area (CB10 & CB11) the average price is £392,000 & the average rent £1050 per month.

The average annual yield in Haverhill (CB9) is therefore 5.6% whereas in Saffron Walden (CB10/11) it is 3.21%.

However, investing in property is not just about yield. We must also consider the increase in value of the property itself. Interestingly, property values in Haverhill (CB9) have risen by an average of 7.75% over the last year whilst in Saffron Walden (CB10/11) average property value has risen by a slightly smaller 6.35% over the same period.

Whereas, medium term, since 2009, Haverhill average values have risen by 21.3% while Saffron Walden have fared slightly better at 22.7%.

Remember these are average values and hide large differences within each area. 

So both areas are good for an investment property and it depends on your view of future employment & housing developments in those towns as to which is the better investment.