Given the high level of demand for rental accommodation in London, it is no surprise to learn that many people are keen to invest in London property. There are many different areas in the capital to buy property and serve as a landlord but some areas are more appealing than others. In recent years, the development of the Docklands area has been dramatic, and this is now a great area to live in, which makes Wapping rental yields an interesting topic.
Another very good reason to consider the Docklands area is the proximity to the City of London and the fact that this area is very appealing to young professionals. There are many different types of tenants, and it is vital that you find the tenant who can be relied upon to pay on time and who will keep your property in good condition. If you can rely on a tenant to care for your property, you don’t need to spend as much money on maintaining the property, which will improve your overall return when investing in property.
Wapping rental yields provide an opportunity
One of the leading online property specialists classes the average value of property in Wapping, as of August 2017, stands at £802,239. The average price paid for Wapping property in the past 12 months stands at £752,583, the average price paid for Wapping property in the past six months stands at £710,806 and the average price paid for Wapping property in the past three months stands at £788,000. These figures suggest that the average price paid for property in Wapping is on the rise in the past year and that it is above the London average.
Of course, Wapping covers a well sized area and if you are looking to focus specifically on the E1W postcode area. The average value of property in E1W stands at £609,619, which you can see is close to being £200,000 cheaper than the average value for Wapping. In the past 12 months, the average price paid for property in E1W stands at £610,291, the average price paid for property in the past 6 months stands at £575,354 while the average price paid for property in the E1W postcode area stands at £631,901. In the past year, the average price paid for property in E1W has risen but it is more attractive than the overall Wapping prices and you’ll find that the E1W postcode area is much more in line with the London average property price.
You can get a good return on your investment in E1W
In the E1W postcode area, the expected rental yield for a one bedroom property is 4.91% and the expected rental yield for a two bedroom property is 4.23%. The expected return for a three bedroom property in the E1W postcode area is 3.68% and the expected return from a four bedroom property stands at 3.94%.
In order to know if there is value for money in choosing one area over another, there is a need to examine the potential return on offer in other areas. You will see that the expected rental yield for one bedroom property in the E1 postcode area stands at 4.7% and the expected rental yield for a two bedroom property in the E1 postcode area stands at 4.24%. The E1W returns compare well with these options. If you expand your search to the E2 postcode area, you’ll find that the expected rental yield of a one bedroom property is 4.76%, so the E1W postcode area is more attractive once again.
There are many attractive areas in London to consider investing in property but you’ll find that Wapping can provide you with great value for money in your investment. If you would like to discuss Wapping rental yields in greater detail, please give our team a call on 0208 743 9101.