When it comes to investing in property, it pays to know about the latest property hotspots and up-and-coming areas.
Here are Portico’s top 10 places where they expect to see big house price rises this year, and the company’s regional director, Mark Lawrinson, explains why.
1/ East Croydon
Young professionals are looking for a mix of luxury and affordable living and East Croydon fits the bill perfectly. The area is currently undergoing huge development, which is likely to increase demand and push up property prices.
East Croydon is generating its own commercial footprint and a number of big businesses have recently moved into the area, plus Westfield Shopping centre will soon be arriving, and getting in and out of central London is easy and quick via the Gatwick Express.
2/ Forest Gate
If you want to cash in on the Crossrail boom then Forest Gate is the place to invest. The area has enjoyed significant gentrification over the past few years, thanks to the Olympic Games, nearby Stratford’s radical makeover, and more recently, Crossrail.
According to Zoopla, property prices in the area have leapt up by 52% since work on the new east-west line began back in 2009, and we predict prices will continue to rise until work is complete. The area is likely to experience further gentrification when Crossrail arrives which will keep prices rising.
Leyton is another east London pocket tipped for house price growth. And in fact, east London will be one of the best investment areas generally next year - due to the fact that West London has already experienced surges of growth of late.
There is a lot of development going on in the area, plus transport links into central London are improving. More importantly, starting prices here are low compared to the rest of London, which means there’s definitely room for price growth.”
Crossrail has also been a real game-changer for Woolwich, increasing property prices and transforming the area into a commuter haven.
The £1.2bn Royal Arsenal Riverside development has put over 5,000 new homes in the area, as well as a new public space and library, and the council have plans to transform derelict estates in the area into lovely new homes. Buyers will be pleased to know that Woolwich is still one of the cheapest places in London to buy.
Better still, when Crossrail launches in 2018 Woolwich will be one of the best connected areas in south London. Buying activity is expected to rocket in the run up to the line’s opening, and it’s likely that prices will rise to reflect demand.
The large north London borough of Enfield is becoming a hotspot for buyers who don’t want to leave the M25 but also want more space and value for their money.
Residents here are blessed with green open space, affordable housing and highly-rated schools, as well as being a short 30 minute train ride from central London. Enfield is an extremely well-connected area, served by three train and three Tube stations, with access to the M25, A1 and A10.
The borough is also set to benefit from a £3.5bn development - Meridian Water - which will bring 100,000 new homes to the area, plus a new train station with services to Liverpool Street in 25 minutes and Stratford in 18 minutes.
Hayes is another key property hotspot for 2017 and Crossrail winner.
Currently the west London town is only served by Great Western railway at Hayes & Harlington station, but by 2018 it will be connected to central and eastern London, with 10 trains running in each direction every hour. Frequent fliers will be pleased to know that Heathrow airport is also just five minutes away.
Asides from improving transport links, Hayes’s investment potential has been underpinned by significant regeneration, notably the £6m transformation of the town centre which is currently under way.
Buzzing with growth potential, Clapton is an area that has recently become extremely trendy with young professionals.
It ticks the affordability box, an influx of new cafés, pizza places and vintage stores have recently moved in, plus it’s within close proximity of fashionable Stoke Newington - an area dubbed the new, cheaper Highbury and Islington.
8/ West Drayton
West Drayton's Crossrail status has secured its place as an upcoming property hotspot - but there’s still time for buyers or investors to bag a bargain. “Garden village” is the one of the area’s major new developments, with Help-to-Buy flats starting from just £280,000.
The area is transforming into an affordable commuter address, benefiting from an improving high street and top transport links to Heathrow, through to west and central London and via the M25.
If you want to live or invest in central London, Farringdon has the best potential for growth.
The area has gone from undeveloped to suburban, attracting both renters and homeowners with a good selection of local restaurants, coffee shops and boutiques.
Farringdon’s new found popularity is in part due to its close proximity to the gentrified ‘Silicon Roundabout’ - the area between Old Street and Shoreditch that’s becoming a hub for technology companies and an extremely desirable place to live. Bethnal Green is also emerging as a potential property hotspot with growth potential.
The area’s desirability is also down to the fact that it’s about to become a significant transport hub. Crossrail will stop at Farringdon from 2018 and locals will be able to hop on a National Rail train to St Albans, Luton, Gatwick or Surrey, or transfer onto either the Circle, Metropolitan or Hammersmith and City lines to a host of other London destinations.
10/ Wood Green
Wood Green is an area that is worth looking at now as a long-term or 10 year + investment. Though it has remained largely untouched in terms of development of its high street and local offerings, it has some fantastic Victorian houses and is a largely affordable compared to its Zone 3 neighbours.
The area’s hotspot status is largely hinged on whether it is confirmed as a stop on the Crossrail 2 route. The consultation process for the confirmed route is rumoured to complete in 2017 - so hopefully we will find out shortly!