Last week, a landlord who lives in St. Leonard’s came in to
our office to discuss the rising property values in the Dorset area. He owns a
varied portfolio of rental properties, primarily in Ringwood and Verwood with
one in Wimborne, so it is interesting to compare the increase in property
values around the area.
Over the last 12 months in Ringwood average property values
have risen from £397,300 to £423,200 a rise of £25,900 or £498 per week. When I
looked at some of the surrounding areas, Verwood has had a slightly lower than average
increase in property values, at around £353 per week (as the average value of a
Verwood property has risen from £291,200 to £309,600) , whilst Wimborne has had
a slightly higher rise of around £409 per week (taking an average property in Wimborne
from £332,600 to £353,900).
However, when one looks at the percentages, Ringwood has
performed the best, rising by 6.5% in the last 12 months, compared to Verwood at
6.3% and Wimborne at 6.4%! It is, nonetheless, a rise in all the town’s average
property values which suggests the market is increasing steadily in our area,
but especially Ringwood– good news for home owners and landlords alike.
However, back to Ringwood, long term property values which
track peaks and troughs are more helpful to landlord investors. The questions I
seem to be asked on an almost daily basis by landlords are:-
- “Should I sell my property in Ringwood, or even buy another?”
- “Is the time right to buy another buy to let property in Ringwood and if not Ringwood, where?”
- “Are there any property bargains out there in Ringwood?”
When considering this landlord’s buy to let portfolio, yields
can be in the order of an average 3%-5% per year, depending where you buy, so
combine that with steady rental growth, excellent increases in capital values
of the properties themselves and it could be a good time to invest in the
property market in Ringwood as property values start to rise.
If you would like some advice about buying to let, be you a
landlord with a portfolio or someone thinking of investing in the rental
market, do what a number of other Ringwood landlords do and visit the Ringwood
Property Blog where I discuss the Ringwood property market, how Ringwood
compares with its neighbouring towns/ rivals, and at the same time, I can hopefully
answer the three questions above. I don’t bite, I don’t do hard sell, I will
just give you my honest and straight talking opinion. If you ever passing, do
pop in and see me at our office on High Street, Ringwood or telephone me on 01425
47 40 05.
