Friday, 7 November 2014

Property Values Rise by £55 per Week in Darwen Paul Ainsworth Lord explains..

Last week, a landlord who lives in the Sunnyhurst area of Darwen came into our office to discuss the rising property values in our part of Lancashire.  He owns a varied portfolio of rental properties, primarily in Darwen, Accrington and Blackburn, so it was interesting to compare the increase in property values around the area. 

Estate Agents in Darwen, Ainsworth Lord Estates
Prices up £55 per week in Darwen

Over the last 12 months in Darwen, the average property value has risen from £108,700 to £111,600, a rise of £2,900 or £55 per week.  When I looked at some of the other surrounding areas, average property values in Blackburn have risen from £125,800 to £130,100, a rise of £4,300 or £82 per week.  However, Accrington property values had risen impressively from £99,200 to £107,000, a rise of £7,800 or £150 per week.  This means that values in Darwen have risen by 2.6% over the last 12 months, in Blackburn 3.4% and in Accrington a very impressive 7.8%. Therefore on the face of it, Accrington is surely the best place to invest in buy to let?

Ainsworth Lord Estates Letting Agents in Darwen

As a landlord, one must consider the medium to long-term when it comes to property values together with additional factors like yields and void periods.  In future articles I will discuss those matters in greater detail.  However, looking at property values over the last three years, the tables have turned.  In Accrington even with the recent impressive increases in property values, property prices here are only 2.6% higher than they were three years ago, whilst in Blackburn they are only 1.72% higher but our town of Darwen is an impressive 7.9% higher than three years ago.  The research I have carried out enables me to give landlords the best advice on what to buy (or not) in either Darwen, Accrington or Blackburn.

When considering a landlord’s buy to let portfolio yields in Darwen can be in the order of 5%-10% per year, depending upon where you buy, so combine that with steady rental growth, excellent increases in capital values of the property itself and it could be a good time to invest in the Darwen property market as values begin to increase.

If you would like some advice about buying to let, be you a landlord with an existing portfolio or someone thinking of investing in the rental market for the first time, please come and see me at our office on Market Street in Darwen.

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