Harrow Buy-to-Let Property Guide
Interested in investing in property in Harrow, a borough of London? Look no further! Our guide delves into the advantages and disadvantages of property investment in Harrow, covering population growth, property prices, rental yields, and regeneration. Discover whether Harrow is a desirable place to live and visit and explore past trends in property growth. If you're considering investing in property in Harrow, don't miss out on this informative read!
Why is Harrow Popular?
Located in the northwest of London, Harrow is a charming suburban town that has become increasingly popular among home buyers and visitors alike. Boasting a rich history that dates back to the 9th century, Harrow offers a unique blend of heritage and modern amenities that make it an attractive place to live and visit.
One of the factors that contribute to Harrow's popularity is its vibrant cultural scene. The Harrow Arts Centre, for example, hosts a variety of performances, exhibitions, and workshops, making it a hub for artistic expression in the area. In addition, Harrow's diverse culinary scene caters to all tastes and preferences, ranging from traditional British pubs to authentic Indian eateries and beyond.
Furthermore, Harrow offers an abundance of amenities that are within easy reach for residents, including supermarkets, parks, gyms, and other recreational facilities. Another key selling point of Harrow is its excellent transport links, which allow for convenient and hassle-free commuting to and from other parts of London via the Metropolitan line.
Families are also drawn to Harrow thanks to its highly-regarded schools, from prestigious institutions like Harrow School to outstanding state schools that offer quality education for children. For those seeking higher education, Harrow is home to the University of Westminster's Harrow Campus and Harrow College, both of which attract students from around the world.
While Harrow is generally a safe place to live and visit, it is advisable to take necessary precautions to ensure personal safety, as with any other urban area. Overall, Harrow's unique blend of history, cultural offerings, amenities, and excellent connectivity make it an appealing location for both renters and landlords alike. Whether you're looking to invest in property or simply explore the area, Harrow is worth considering.
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Population Growth of Harrow
Harrow is an area that has caught the attention of property investors due to significant population growth in recent years. In fact, between the 2011 and 2021 censuses, Harrow's population grew by 9.3%, exceeding the overall population growth of both London (7.7%) and England (6.6%). This increase indicates a flourishing community and a strong demand for housing in the area. Harrow had an average of 37.0 people per football pitch-sized piece of land in 2021, up from 33.8 in 2011, reflecting the area's popularity and appeal. It is among the top 10% of densely populated local authority areas in England. Harrow's higher population growth compared to London as a whole indicates that the borough offers unique attractions and amenities that are drawing people to the area, making it a potential hub for investment. With a vibrant cultural scene, excellent transport links, and top-rated educational institutions, Harrow is continuously attracting new residents. If you're contemplating investing in property in Harrow, the upward population trend suggests that it could be a wise decision, offering the potential for a thriving and profitable investment.
Property Prices and Historical Growth
Harrow's property market saw a slight decline of 0.3% in March 2023, largely due to the sharp rise in mortgage interest rates hitting the UK. Despite this setback, the average house price in Harrow remained at an impressive £519,185, indicating the market's overall strength. This decline was also relatively low when compared to the wider market, with London experiencing a 1.7% drop and the UK seeing a 1.2% decrease in property prices. Over the past year, Harrow's property prices have demonstrated resilience and growth. On average, prices rose by 3.3%, with the typical sale price increasing by £16,000. While other areas in the region may have experienced more significant growth rates, such as Tower Hamlets with an impressive 11% increase, Harrow remains a solid investment option.
Harrow's property market also has a track record of long-term growth potential. Historical data shows that property prices in the area tend to double in value every 10 to 15 years, indicating stable returns on investment. The rental market in Harrow is also thriving, with high demand and steady rental yields. This further enhances the appeal of investing in property in the area. Harrow offers a diverse range of housing options, from period properties to modern apartments, catering to various preferences and budgets. Additionally, Harrow boasts excellent transport links, with several tube and train stations connecting it to central London and other parts of the city. This accessibility makes Harrow an attractive location for professionals seeking a quieter and more affordable place to live while still having easy access to the capital's employment opportunities.
In summary, despite the recent slight dip in property prices, Harrow remains a solid investment choice. With a track record of long-term growth, a strong rental market, diverse housing options, and excellent transport links, investors can have confidence in the stability and profitability of the property market in Harrow for the long-term.
Property prices from 1995 to July 2023 in Harrow. Data taken from ONS and Home.co.uk
Regeneration and Investment in Harrow
Harrow Borough is currently attracting both investors and residents due to its upcoming regeneration plans. Harrow Council has pledged £1.7 billion towards various projects aimed at improving the borough's infrastructure and economy, demonstrating its commitment to its future. This significant investment is expected to result in new opportunities for residents and businesses alike.
The regeneration plans will involve the construction of new homes, schools, open spaces, a library, and a civic centre. These developments are expected to significantly enhance the quality of life for Harrow residents whilst also making the area more appealing to potential investors. The Council's ultimate goal is to establish Harrow as a thriving hub for creative industries and the arts.
One of the more exciting projects that will be carried out in Harrow as part of its regeneration plans is the renovation of the Harrow Museum. The site will be transformed into a space for cultural and artistic events and exhibitions, and Harrow Council is also providing affordable workspaces for local artists. This will bolster Harrow's reputation as a hub for creativity and innovation, and help to attract further investment in the area.
The Greater London Authority (GLA) has also recognised the potential of Harrow, providing funding to explore the possibility of establishing a Creative Enterprise Zone in the borough. This would attract even more creative businesses to the area, which would in turn further bolster the local economy.
Aside from its focus on regeneration, Harrow also boasts an impressive culinary scene, with a diverse range of award-winning restaurants such as the Trinco Bay catering to all tastes. These culinary hotspots add to the area's appeal and make it a desirable destination for food enthusiasts.
According to Councillor Graham Henson, the Leader of Harrow Council, "Harrow is renowned worldwide as one of the best places in the world to raise and educate a prosperous family." The borough's commitment to enhancing its infrastructure and creating a thriving community will further boost its reputation and attract global investors and businesses.
In summary, Harrow presents an attractive opportunity for property investors due to its regeneration plans, commitment to its community, and vibrant cultural scene. With its upcoming transformation and focus on innovation, Harrow is poised for a bright future.
Expected Rental Yields in Harrow
The current average monthly rent in Harrow is around £1,600, but if you're planning to rent out a one-bedroom property, you could expect to achieve an average of £1,380 per month. For a two-bedroom property, you could fetch around £1,900 per month, while a three-bedroom property could go for as much as £2,400 per month. A four or five-bedroom property might set you back £2,400 and £2,800 per month, respectively.
It's worth noting, however, that these are only averages, and you should always consult with local letting agents to determine what's achievable in the current market. Rightmove reports that the average yield for a long-term rental in Harrow is 3.7%, which is relatively high compared to other areas of London. However, certain locations and property prices within Harrow may offer even better rental yields, up to 5.5%.
But wait, there's more. Short-term letting could also prove to be highly profitable, particularly if you offer serviced accommodation in Harrow. With average nightly rates of around £150, you could double your rental yields by targeting bookings from major local businesses, like Coca-Cola and British Airways, as well as events at the nearby Wembley Stadium.
Overall, Harrow represents a promising opportunity for both long and short-term property investments, offering potentially high rental yields. Whether you choose to go down the traditional rental route or explore the booming serviced accommodation market, Harrow could provide a solid return on your investment. Just be sure to do your research and consult with experts to ensure you maximise your potential earnings.
Overview of Investing in Harrow
Harrow presents a lucrative opportunity for property investment due to its robust market, growing population, ongoing regeneration plans and high rental yields depending on the model investors choose. The borough is known for its vibrant cultural scene, diverse culinary options, and excellent transport links, making it an appealing place to live and visit.
Compared to London and the rest of England, Harrow has a thriving community and a strong demand for housing. This growth trend is predicted to continue, making investing in property in Harrow a potentially profitable venture.
Despite a slight decrease in property prices, they remain relatively stable compared to the wider market, offering long-term growth potential and stable returns. The rental market in Harrow is thriving, with high demand and steady rental yields.
Harrow's commitment to regeneration is another positive aspect that enhances its investment potential. With £1.7 billion allocated to improve infrastructure and the economy, Harrow aims to attract more residents and businesses. These developments, alongside the borough's vibrant cultural scene, make Harrow an attractive location for investors.
Investors can also benefit from expected rental yields in Harrow, with average yields of 3.5% for long-term rentals and opportunities for short-term letting to boost those returns.
In conclusion, investing in property in Harrow provides a promising opportunity with all the ingredients for success - a growing population, resilient market, ongoing regeneration plans and secure rental yields. Anyone looking for a profitable investment should consider Harrow.