How to Spot an Area that’s Up-and-Coming
“Up-and-Coming” is an overused phrase when referring to towns or parts of a city. It usually gets tacked onto trendy enclaves in bigger cities to attract interest, but doesn’t always mean anything, especially to investors or homeowners looking to profit from price rises.
Buyers should look for five vital signs when they’re scoping out an area to see if it’s worth investing in, as they can mean the difference between buying ahead of a boom or buying too late after the area’s bloomed.
Delicatessens and farmers’ markets
An abundance of independent food shops and other retailers, as well as regular farmers’ markets is a good sign because it means there are people with higher disposable income levels. The £5.00 artisanal loaf is the clincher.
The scope of the estate agents
Look at the websites of local estate agents for their outposts – the furthest areas the agent deals with. These are the areas that will see the most growth in the next year. For areas in this zone, it’s usually good news.
Think further afield
If an area is on the outskirts of a big city, or town and it has good transport links in and out, it could be in for a surge. Think about London and its tube zones – the price rises spread out in ripples as areas near the centre become prohibitively expensive.
Demographics
The age of a population is a huge factor in property price growth. A high proportion of younger people – twenties and thirties – usually means a hike in property prices. This is because most of these people are young professionals who need good local shops and transport links, which in turn, encourages new businesses and more public transport.
Check out the facilities
Proximity to good amenities – supermarkets, schools, access to train stations and motorways – within three to five miles become very attractive to homeowners.
Another sign is the number of estate agents in the area. If there are more than three or four different agencies, the area is about to go into a boom. Estate agents use tools to predict prime areas for growth and set up shop ASAP.
