21 November 2016
21 November 2016,

With the first Crossrail network now firmly in place and due to open fully within the next few years, investors are examining Crossrail 2 – and trying to predict its impact on property prices. Locations along the first Crossrail route have experienced rocketing property prices, with some areas rising as much as 40%. It’s anticipated that Crossrail 2 will achieve the same effect.

However, the big issue is – it hasn’t been given the green light yet. If you’re investing in property in the UK, and are curious to find out whether to invest in areas affected by Crossrail 2, read on.

The Results of Crossrail

Crossrail’s impact on property prices has been nothing short of phenomenal. It’s estimated that the route has added a total of £5.5 billion to property values, and on average, houses within 750 metres of a Crossrail Station have risen by 5%.

It’s not surprising, when you examine the rationale behind buying along the Crossrail route. London workers value a shorter commute above all else, and in some cases, Crossrail has cut commuting times in half. It has also opened London to areas which were previously considered outside the commuter belt – which in turn, has driven prices up.

Crossrail 2 – Risky Investment?

Some property investors are holding fire before they purchase. After all, Crossrail 2 is only in the preliminary phases, and there is still a chance that the entire project may be pulled. However, there’s an advantage in investing early, as property prices are likely to be lower. This means that, if Crossrail 2 drives capital growth considerably, profit margins will be much higher.

As with any form of investment, there is a risk involved -and it’s important to ensure you can afford this risk before making a purchase.

Buy-to-Let Properties for Sale

Buying for letting purposes can offer a two-fold return on investment – capital growth and regular rental income. When looking for a buy-to-let property for sale along the proposed Crossrail 2 route, consider the following:

  • Can you earn good rental income from it now? Crossrail 2 won’t be complete until 2030 at least, so your property needs to generate a solid rental yield in the meantime.
  • Are you able to commit to a long-term investment? Property prices are only likely to grow significantly once the Crossrail 2development is firmly underway. This means your finances will be tied to the property for at least thirteen years, if not more.
  • Are you close enough to a proposed station? Renters and buyers alike will want to be near to the station, preferably within walking distance. Buy too far away, and you won’t reap the full benefits of the new station.
  • Will it hold its value if the worst happens? If Crossrail2 doesn’t go ahead, will the property still hold its value? If you’re not sure, here’s where a property investment agent can help.

The Buy2Let Shop in Bromley

If you’re looking for buy-to-let property for sale, and you’d like assistance with growing your property portfolio, talk to The Buy2Let Shop today. We’re a team of specialist property investment agents in London, and we’re here to help you get the most out of your property investment in the UK.

To find out more about our services, which also include help with property auctions and regular property investment seminars, visit The Buy2Let Shop website today.

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