The market is moving so how is Loughborough and it's surrounding villages doing compared to Groby and Melton Mowbray?
I was chatting with one of our landlords who lives overseas and has a small portfolio in and around Loughborough. We discussed not only the solid rental yields she is getting but also that property values seem to be doing well here after some undeniably difficult years. This prompted me to compare the local area with nearby Groby and slightly further afield Melton Mowbray to see how we’re doing here; it was encouraging.
In the last twelve months, LE11 Loughborough has seen average increases in property price of over 2.5% whilst the surrounding villages in the LE12 postcodes have enjoyed average increases of over 2.8% up to nearly £204,000. In the LE6 Groby area closer to Leicester increases have been more modest at just over 1.8%. In Melton Mowbray’s LE13 postcode they have also seen an average increase in the last year but lower, at just less than 1.6%. Compared to Groby and Melton Mowbray, Loughborough is likely to provide good buy to let properties if you choose wisely and prices here are still reasonable; but rising.
With rents in the area recovering to pre-2008 levels and tenant activity rising as we head into the summer lettings is doing well in the area. With national forecasts pointing to a continuing rise in the number of people renting and a corresponding increase in landlord activity the lettings market is looking healthy. All the indicators are that house prices are starting to rise and so landlords who have been sitting quietly by watching the market and biding their time ought to consider if the time to increase their portfolio is this now.