Essex is a great location for homeowners. It offers space and convenience, especially for those who have to commute frequently to Chelmsford and other nearby cities. Four towns in Suffolk and Essex were included in the UK's top 10 real estate hotspots of 2016, establishing the region as a highly sought-after location for homebuyers. With a short commute to London, significantly reduced property costs, and the advantages of living "out of the city," municipalities in the vicinity are some of the compelling reasons for buying property in Essex.
As purchasers strived to take advantage of the Stamp Duty holiday during the pandemic, buyer interest increased throughout England. Demand for homes in Essex has increased even more as a result of shifting consumer tastes, particularly in less urban areas. Between June 2020 to mid-April 2021, property market sales increased by 56% in Essex compared to the previous year.
Everything You Need to Know About the Property Market in Essex
The property market in Essex is still active. The number of buyer inquiries is up 31%, mortgage approvals are up 11%, and sales are up 11% when compared to the last 'normal' market in 2019. The demand for the property market in Essex has increased sharply, while stock levels have decreased by 55%. The persistent mismatch between supply and demand keeps prices from falling. The shortest time ever recorded, houses are selling subject to contract on average in just 31 days. Moreover, asking prices have reached their fourth consecutive record high in as many months, despite the continued high level of competition for properties.
According to data, typical home prices have increased throughout the pandemic as a result of a sharp rise in demand, a lack of available housing, and people's desire for more space and rural living as they choose to relocate outside of the capital.
In some regions of Essex, even while housing prices have risen, the demand is still striking high. The location of Chelmsford has long been praised by both renters and house buyers. Since London is only 30 minutes away by train yet has far cheaper sales and rental costs than the capital, there is a high demand from both buyers and tenants for all types of real estate. And as a real estate investor, you may be missing out if you're not making the most of the current situation.
Chelmsford is one of the greatest areas to invest in property in Essex because of the variety of properties available for sale, from contemporary new-build apartments in the city centre to classic period family homes.
Essex is the ideal place for the property market this year. The Essex town of Chelmsford and Colchester may provide the best returns for property investors, according to a recent study. The ancient market town is the finest place to invest in real estate. According to a survey, Colchester's rental yields provide returns of 3.71 percent on average, along with capital growth of 9.98 percent, rent increases of 3.41 percent, and sales volume growth of 2.79 percent. The South West and the Midlands have performed particularly well in terms of house price rise, the survey claims.
Although there are many advantages to buying to rent, the main problem for most investors is choosing the ideal property in the ideal location to secure the most return. Colchester combines great rents, rapid capital growth, and a thriving market. It is the ideal location for landlords to diversify their holdings.
Every investor is unique; although some prefer to prioritise short-term capital gains; many others prefer to prioritise rental income and overall yields. Making a wise investment requires considering all elements and finding proper balance and professional support.
Even though London and the South East are still fantastic investment locations, if you're trying to grow your network of properties, Essex is a fine choice.
Final Thoughts
Several of Essex's most populated districts are experiencing price increases above the regional average due to high demand. According to recent data, the property market is expected to grow by 3% in 2022 in the East of England.
The increase is just smaller than the prediction for the UK as a whole, which calls for price increases of 13.1% over the next five years and 3% in 2022. If these predictions come true, the average price of a property in Essex will jump from £380,685 to £420,276 by 2026.
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