First, property values expectably will rise. We noticed substantial demand for London and Europe-wide real estate from existing clients, especially in the luxury sector where sales rebounded after a strong start in early 2021 and the inevitable second quarter decline.
Second, leveraging local knowledge enables you to secure advantageous deals. In our experience, finding a partner to work for you and care for your interests proves critical to maximizing returns on real estate investments. Real estate markets differ greatly across districts, so choosing the right one could make or break desired profits and high rental yields.
Third, interest rates sit at record lows. According to CBRE’s EMEA Property Market Overview report, it expects no short-term rate hikes until 2023. The ECB tends to keep borrowing costs artificially low. On 25 July 2019, the ECB decided to hold borrowing costs at 0.00%, 0.25%, and -0.25%. Amid financial market fraud, investors shy away from buying shares as unstable and expensive compared to government bonds. As a result, real estate provides higher rental yields than other assets. Vast financing exists for elite real estate deals.
Fourth, a new wellness movement spreads across the UK. We noticed people increasingly care about and willingly spend time and money on improving their wellbeing. Elite real estate buyers join this queue too, and European cities like Amsterdam offer them the desired sense of wellness.
Fifth, London real estate holds great potential. The main approach to increasing property value involves expanding interior space and improving functionality for future buyers, as we long advocated. This proves truer than ever as people desire openness to UK real estate investment opportunities. Numerous luxurious 1newhomes in London offer both improvement potential and the gardens buyers want. Notting Hill, Belgravia, and Hampstead offer excellent postal codes for investment as they provide more open space and greenery among other benefits.
London boroughs: popular locations for investment in rental property
While many investors seek to purchase property in the UK’s hotspots that currently proves cheap but will appreciate over time due to proximity to popular city centers, some real estate investors buy property in the UK’s fast-growing suburban towns like Bournemouth and Poole amid the housing bubble.
The UK may have seen better days, but its real estate market always remained strong. Many good investment opportunities still exist for real estate investors wanting to capitalize on the country’s property boom. London stays one of Europe’s most profitable places as millions flock to the capital annually. In fact, London property values grew a staggering 50% over the past five years and show no signs of slowing anytime soon. However, UK real estate does not come cheap, meaning foreign investors will need to find UK property with significant price growth potential.
North London, UK
North London contains some of the most expensive real estate in the UK. However, good value still exists if you know where to look! Her Majesty’s Land Registry data shows current property prices as follows:
The average Barnet house costs £526,533
The average Camden house costs £870,627
The average Enfield property costs £400,000
The average Haringey house costs £465,000
The average Islington house costs £516,467
This area still offers fairly decent rental yields: average rents run higher than other London districts. Weston has flats fetching up to £1,300 per month. Finchley Central also ranks as another top spot for buy-to-let real estate investments.
South London, United Kingdom
South London real estate prices average lower than the rest of London. The current average southside price sits around £480,000, and several expensive hotspots and bargain deals exist too! One such bargain area for buyers could be Croydon, where you can find a great place for under half a million – not bad compared to other city parts like Richmond which holds a similar price tag but has just one tram line running through it.
Rental prices vary across London’s regions, but you will find certain spots prove more popular with renters. South of Westminster and Streatham Hill generally command higher rents as they sit closer commute-wise to central London than other districts on this city side with lower rates like Sutton or Croydon that may offer cheaper accommodation options depending on your needs!
West London, United Kingdom
The average West London property price currently sits around £663,000. This makes buying a home here more expensive than other city parts! The most noticeable exception? Kensington and Chelsea, which runs 8 times higher with average flat prices on some streets at £3,000,000 or above, yet cheaper areas like Hounslow exist where you can live in one charming little townhouse from £150,000 plus.

West London offers ample rental opportunities for many landlords. Areas near central London prove popular with city workers, wealthy Brits, and foreign residents, while western districts provide more affordable housing that still enables quick commute access due to proximity to Heathrow or Gatwick airports.
As of 2016, the average one-bedroom flat rent in North London cost £2,141 per month. Rental price summary figures show that between cities like Brent and Ealing, affordable rents can be found ranging from £1,621 to £4,431 monthly. In Hammersmith & Fulham, several more luxury properties exist where suitable tenants may pay up to £5,020 PCM rental income a year! However, taking West London overall, different house or area types can exist that provide higher yields of 3%+.
East London, UK
You may be surprised to learn that across London some of the cheapest real estate exists. Real estate investors seeking a bargain deal should look to East London, where average prices start around £386,000 and can go as low as £130,000! The priciest area is Tower Hamlets with an average per square meter price twice as high as anywhere else – but don’t let that deter potential homebuyers; Leyton will still be your best bet as it offers the best value without too much effort to find the perfect spot.

With East London real estate prices at record highs, it is unsurprising people start investing. Land Registry data shows several areas that offer investors optimal returns on their money: average house prices range from £303,000 for Barking and Dagenham residents to Havering – £377,000; Newham – £382,662; Redbridge – £432,138. New flats in East London are also becoming an increasingly popular investment option.
While East London real estate prices rank among the highest, yields still average over 3% overall. Research figures demonstrate how this impacts your monthly rental income: affordable property will net you around £1,000 a month while a luxury flat with high-end amenities costs about twice as much at £2,000. The great news? Rental yields in these areas can be anywhere from 4% (Barking and Dagenham) to 8%, making them not only competitively priced but also very generous given how much you will receive back from your capital investment!
Central London, United Kingdom
Central London yields prove less generous. However, the best you can get is 6% (Westminster). You won’t find better in any other London district! Average central London yields sit at 4.2% but this still far exceeds the UK-wide average of just 3%. This means central London’s top yields match outside it. As for London prices, well, they don’t come cheap! Renting a small studio runs around £1,000 a month, a one-bed flat about £1,200, and a 2-bed place around £2,000 a month. That’s double, YES double, the average monthly rental cost across all London!