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 the London Borough of Greenwich.
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.
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.
Greenwich – New housing analysis
Greenwich has had an average 959 sales p.a. in the new build market, since 2009. Over the same period construction starts have been 1,037 p.a. During the same period the average annual construction volume has been a whopping 2,499 p.a.
New planning applications have been on average 2,266 p.a. However, significant applications have been made in:
- 2015 – 4,396
- 2016 – 3,038
- 2019 – 2,861
- 2020 – 2,823
Greenwich – Properties due to complete but unsold
At the end of Q3, 2022 there were just 2 complete and unsold properties in Greenwich. Whilst there is a relatively modest amount of complete and unsold property there is a significant amount of property due to complete in 2023.
There are currently 10 schemes which are currently under construction and due to complete in 2023. Four of these schemes are yet to launch and one is on hold. There are currently 412 properties due to complete in 2023. These properties are currently being promoted at £680 per ft².
Opportunities for Investors in Greenwich
Greenwich has only a small amount of unsold but complete property, however, it has a huge amount of property due to complete in 2023 which is currently unsold. These properties are likely to be priced significantly above the average price in the secondary market. There is likely to be significant discounting by developers to close out their unsold positions.
Greenwich is certainly a market to watch for investors.
Risks for investors in Greenwich
There are certainly risks for investors looking to buy in Greenwich, the major ones are likely to be the following:
- Pricing – there is a significant opportunity for price declined in the new build market in Greenwich in 2023. So, investors need to push hard for a deal, there is a real chance they will overpay.
- Rents – there may well be pressure on rents as new supply comes online. There is a significant amount of new planning applications which have been made in the past 10 years.
Greenwich is a market that investors should certainly watch over the coming year.
If you want to find out more about which developments are likely to come to market next year in Greenwich. email us at [email protected]. If you’re a property investor you may also be interested to read our detailed guide to the London Borough of Greenwich which contains demographic, economic and sales data, designed to help you make informed investment decisions.
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