I was talking to a landlord from Speldhurst the other day about the Royal Tunbridge Wells property market, following my recent articles in the Courier newspaper. He wanted to know, with all the news about house prices rising, what had happened to average property prices in the last 12 months. According to my calculations, the ‘average value of a property’ in Royal Tunbridge Wells is now £399, 900, which is a rise of approximately £18,700 in the last 12 months (a rise of 4.9%). Now by my calculations, the average rent being asked in Royal Tunbridge Wells is around £1,198 pcm, which means the yields/annual return are an impressive 3.6% per year. Therefore, if you add the rise in property values and the annual yield a landlord can enjoy by receiving rent, the overall total return is approximately 8.5%.
When comparing this to what you get from investing in the banks, buy to let could be a good investment for you. As I reminded another landlord the other day from Langton Green, the Royal Tunbridge Wells property market has certainly changed since 2001. At the turn of the Millennium, of the 20,823 households in the town itself, 2,435 of those households (or 11.6%) were privately rented. Ten years later, over 2,740 new properties had been built in Royal Tunbridge Wells, but a lot of those had been bought for Buy to let; because by 2011, there were 4,528 properties that were rented out to tenants…that’s a lot of rented houses! The people of Royal Tunbridge Wells might be interested to note that now 19.1% of houses in the town are privately rented compared to the UK average of 15.6%.
Don't get me wrong, there are pitfalls. My message to all the people of Royal Tunbridge Wells, be you an existing landlord or you are thinking of dipping your toe in the water for the first time is quite simple – take some independent advice before buying anything, unless you're 100% sure of what you're doing. I say this because I know what happens when people don't. Even if it's not from ourselves, there are still a few regulated lettings agents in Royal Tunbridge Wells who are well placed to advise on whether the property you're considering will rent and at what potential price. We are certainly more than happy for you to pop in and see us at our offices on Vale Road in Royal Tunbridge Wells (near the Train Station) for a chat or email direct for any opinion on firstname.lastname@example.org