Why investors and landlords should note the The Highs and Lows of recent house sales in Dunstable and Houghton Regis
As we reach the end of the year it is always interesting and useful to see how some of the properties in Dunstable and Houghton Regis that have recently sold have performed. Although I am a Letting Agent I must always be aware of the trends in house prices as well when advising landlords and investors which properties and areas are best for their next purchase.
Let’s start with properties in the LU5 postcode.
The properties that have performed well include No.32 Sundown Avenue which is a 3 bed semi and sold in March this year for £302,000. This was resold in September just 6 months later for £345,000 an increase of 14%. Another property that sold in September was No.3 Hayley Court a 3 bedroom detached house. This house was sold in January 2014 for £190,000, but sold in September this year for £270,000 an increase of 42% in less than 2 years.
However some of the developments that completed in 2006/2007 are yet to reach the prices that were paid for them at that time and we have had many new landlords purchase a bargain in these developments as the owners decide to sell now that the prices are rising.
Take for example No.10 The Parklands, a sought after prestigious gated development close to the centre of Dunstable and next to the theatre. This 1 bedroom apartment was sold in November 2006 for £154,000 and it was sold in October this year for £121,000 a figure that is 21% below the purchase price. No.24 Bramley Court which is in a development right next to the new Amazon Fulfilment Centre was purchased in August this year for £142,000 but was previously bought in November 2006 for £169,995 a drop of 16.5% on the new purchase price.
If we now look at the LU6 postcodes which are centered more on Dunstable town centre we can see similar rises which is no surprise as we have recently seen a large number of owner buyers and investors from London purchasing property in the area. On a recent night out with some local businesses I was talking to the owners of Deakin-White an Estate Agent based in Dunstable who opened in June this year. They have had a huge impact on the local sales market since and they confirmed that the majority of their buyers are from London.
A four bedroom detached house at 154 London Road was purchased in July 2014 for £320,000 and sold in August this year for £387,500, a rise in value of 21%. Nearby No. 125 London Road a 2 bed maisonette sold in October this year for £155,000 having been purchased in July 2014 for £125,000, a 24% rise in just 15 months. Another surprise was No.71 Frenches Gate to the North of Dunstable. This is quite a modern development and a 3 bed semi purchased here in May 2014 for £189,950 sold in August 2015 for £230,000 an increase of 21%.
In contrast we saw No.48 Watling Gardens which would seem to be a shared ownership 2 bedroom apartment sold for £60,000 in July 2015, a drop of 22% on the purchase price of £77,500 in September. Also No.34 Oldhill a 3 bedroom house which was purchased in November 2009 for £170,000 sold for £152,750 in July 2015, a drop of 10% on the purchase price.
It is information such as this that landlords and investors need to consider before buying their next investment property, and a meeting with a local property expert is invaluable.
If you would like to discuss the local market further and would like advice on which properties and areas are the best for purchasing your next investment property please fill in and submit the form below.
Daniel Bourke is the owner of Belvoir Lettings Dunstable and in his previous career in Architecture he was an Associate in a leading London Architectural practice