We have put this series of posts together on London’s 32 boroughs to give you a picture of what is happening in the new build market and where the opportunities will be in 2023. This guide focuses on Barking and Dagenham.
Information and timing are critical to generating wealth when it comes to investing in new build property. Most investors simply don’t have access to enough information to make an informed investment decision buying off plan. High quality information is reserved for big investors who get all the best deals.
We have put this series of posts together on London’s 32 boroughs to give you a picture of what is happening in the new build market and where the opportunities will be in 2023.
2023 The Year of the Investor
Many are pessimistic about the short-term prospects for the London property market. We think it provides one of the best buying opportunities for buy to let investors in several years.
Good property investors make investments in times of uncertainty, the key to making a good decision is having access to all the information.
Barking and Dagenham – New Housing Analysis
The sale of new homes in Barking and Dagenham has averaged 436 sales p.a. between 2022 and 2009. New construction starts over the same period have been broadly in-line with sales at 500 p.a.
However, over the same period new planning applications have increase significantly from just 251 in 2010 to 3,595 in 2022.
Source. Molior London
Barking and Dagenham – Properties due to complete but Unsold
There are 11 new build scheme is in Barking and Dagenham due to complete in 2023, comprising 1,120 properties due to complete in 2023. As at Q3, 2022 401 were sold and 719 have yet to be sold.
Of the 11 new build schemes on one is completely sold out, in addition:
- 4 are yet to be launched
- 3 are currently on hold
- 2 are purpose built for build to rent
Opportunities for Investors in Barking and Dagenham
There are 4 new build schemes in Barking and Dagenham comprising 578 properties which are due to complete next year and have yet to launch. This is more than 10% above the average sales rate in the new build market 500.
The remaining stock in the location has an estimated average price of £473 per ft². Which would have previously been targeted towards Help to Buy buyers, however, the scheme has now ended.
There are likely to be opportunities for investors to negotiate on schemes in Barking and Dagenham due to the number of completing schemes yet to be sold.
Risks for investors in Barking and Dagenham
Significantly more planning applications for new developments have been made in the past few years. Suggesting that if they are all consented and go into production there will be additional supply which will put some pressure on pricing.
If you want to find out more about which developments are likely to come to market next year in Barking and Dagenham email us at [email protected].
You may also like to check out our more detailed guide to investing in Barking and Dagenham, here.
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