The new homes market in south west London and indeed across the Capital has become buoyant over the last few years. The end of the global recession has heralded some landmark schemes in emerging areas, and demand from both local and international buyers ensures that developers continue to press ahead with innovative schemes. But, there is one area in south west London emerging quicker than most.
Streatham has seen significant growth over the last few years. Property prices have risen by 63.9% since 2010 and 12% in the past 12 months. Its buyer demographic is also changing – our Q2 market data determines that first time buyers (52%) and buy-to-let investors (14%) make up a high proportion of all buyers in the area.
The first half of the year has seen us successfully market two large schemes in Streatham –Pembroke Lodge and Norwich House – with a third development made up of 35 new properties scheduled to launch in the coming months.
Norwich House is an impressive modernist building offering a collection of 98 homes, including a mix of studio, one and two bedroom apartments. Each apartment includes a bespoke kitchen with a matt white finish, glass worktops, and integrated appliances including a hob, oven, fridge freezer and washer dryer.
Until recently, Streatham had not seen the same amount of interest from buyers as neighbouring Clapham, Balham and Brixton. However, with house prices throughout the London Borough of Lambeth continuing to rise (7.8% in the past 12 months), and due to significant investment in the area, helping with regeneration, Streatham has quickly become a more desired and affordable location to buy, particularly for first time buyers.
The rental market in Streatham has also been incredibly strong this year, with high demand for all properties ranging from studios to large family homes. New build properties in this area are great for buy-to-let investors. Renters take advantage of the good transport links and value for money that Streatham offers. The average rental yield in SW16 is around 4.5% per year; rental yields for Norwich House vary between 4.5% and 5% per year depending on the type of property, with one bedroom flats offering the best return.
With the surrounding area benefiting from a regeneration programme, Norwich House and other similar schemes are set to be a great opportunity for capital growth and good yields.