Thinking of buying a property in Barnet? 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.
Barnet– New Housing Analysis
Between 2009 and 2022 on average there were 983 new homes sales each year. Over the same period new construction starts outpaced sales with new construction starting on 1,108 new homes on average.
Over the same period planning applications for new properties increased significantly to 4,487 in 2014 before declining to just 399 in 2022.
Barnet – Properties due to complete but Unsold
There are 20 new build scheme is in Barnet due to complete in 2023. Four of the developments have been converted to affordable housing and one is a purpose built build to rent (BTR) development.
As at Q3, 2022, there were 15 developments in Barnet with 683 properties due to complete in 2023 with an average estimated price point of £728 per ft².
Of the 15 new build schemes none have been completely sold out, in addition:
- 2 are yet to be launched
- 1 is currently on hold
- 10 have properties for sale currently in the market
Opportunities for Investors in Barnet
There are significant number of new build schemes in Barnet. Many will have complete and unsold properties throughout the course of 2023. At an average price point of £728 per ft² much of the stock will be at a price point which may well be difficult to sell.
|Studios (400 – 450 ft²)||£ 290,000 – £330,000|
|One Bedrooms (500 – 600 ft²)||£365,000 – £440,000|
|Two Bedrooms (650 – 800 ft²)||£475,000 – £580,000|
The 15 developments due to complete in 2023 have an average of 44 properties to sell throughout the year. Only 4 of the developments have less than 10 properties to sell and 5 have more than 50.
There will be significant competition between developers to sell their properties in 2023. Most will need to discount in order to sell out of their developments. Wise investors will use this knowledge to snap up a good deal.
Risks for investors in Barnet
Construction volumes have increased significantly in Barnet since 2016. There is risk in the short-term of their being an oversupply of property and heay developer discounting. However, new planning applications in 2023 were just 399, indicating new supply will likely significantly reduce.
Are you thinking about buying an investment property?
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