Property Investment In Wandsworth

The London Borough of Wandsworth is in SW London.

Wandsworth is a desirable rental area not only for its location which provides easy access to Central London, but also because it's close to some of the most fashionable parts of London such as Chelsea, Fulham & Wimbledon. The Southside shopping centre and the fabulous parks like King George's and Wandsworth Park closest to the high street are a hub for visitors in/out of town. Battersea Park, Clapham Common and Tooting Bec Common are the other main open green spaces within the borough.

Wandsworth is close to the banks of the river thames with embankment walks along Wandsworth Park and ideal for cycling enthusiasts. The river also provides a fast boat service into Central London at Wandsworth Riverside Quarter Pier by Lightman's Walk close to Wandsworth Park.

Wandsworth has seen an acceleration of new build developments taking shape, such as the build to rent complex along Armoury Way. This will undoubtedly attract young professionals sold on what the build to rent model has to offer which is an all-in-one convenience to include fitness gyms, restaurants and bars.

Wandsworth is symptomatic of many areas which have combined old with new such as the Grade II listed Ram Brewery this new development called The Ram Quarter offers a mix of residential, retail and office space. Many investors brought into the new corporate model in particular overseas investors from China and a large percentage of these units are occupied by professional tenants. The rental market took a nosedive during the pandemic and rents in these developments were no exception, but now they have recovered and are achieving more than 35 to 40% increases in rent compared to pre-pandemic levels.

Other parts of Wandsworth Borough having undergone massive transformation are Nine Elms a large part of this area was vacant industrial land. It now looks like a brand-new town centre, with 20,000 new homes and 25,000 permanent jobs in the businesses setting up across this opportunity area, including Apple, which has chosen the Power Station as its new London headquarters.

Rental Values in Wandsworth

The average monthly rent in the main district which is Wandsworth the main centre of the borough is currently around £3,096. The data of average rents for different types property in Wandsworth varies they are as follows: £1,800 pcm for a one bed flat, £2,400 pcm for a two bed flat, £3,200 pcm for a three bed flat, £4,200 pcm for a four bed house and £5,200 pcm for a 5 bed house.

Actual rents depend on type of property and location and are likely to be less for the outer parts of the borough. Find out what your property is worth in the borough Available here. .

What are Wandsworth property yields like? Yields in Wandsworth for a standard AST agreement on a long let are 3.5% on average some areas of Wandsworth can offer up to a 6.1% lettings yield for the sharers market, HMO's offer the best rental yields on average return of over 7.5%.

Property Investment in Wandsworth

Population: 330,000 approximately
Average House Price: £776,519

Types of property available in Wandsworth include Victorian and Edwardian period properties, 20th century housing estates and flats. Overall, there is a total of approximately 32,000 properties within the borough. And two-thirds of that property stock are flats, which makes houses a better investment over flats given the short supply of houses in the borough and the current mismatch between demand and supply for rental properties.

The data of average property prices for different types of houses in Wandsworth vary so these are approximations which are: £1,379,000 for a terraced house, £1,716,000 for a semi-detached house and £2,040,000 for a detached house.

Towns within the Borough of Wandsworth

Balham, Battersea, Clapham, Clapham Junction, Earlsfield, East Putney, Furzedown, New Covent Garden, Nine Elms, Putney, Putney Heath, Robin Hood, Roehampton, Southfields, Tooting, Tooting Bec, Tooting Graveney, Upper Tooting, Wandsworth and West Hill.

Here are the main postcodes; Wandsworth is covered by the following postcodes: SW4, SW8, SW11, SW12, SW15, SW16, SW17, SW18 and SW19.

Main Hotspots in the Borough for Investment

Balham. Located to the east of the borough fringing Lambeth. It has great transport links and a good range of shops and leisure amenities. Balham is considered a cool, fashionable place to live and is very popular with professionals and commuters. Balham is generally a higher price property area.

Battersea. Located to the north of the district fronting the River Thames. It is known for Battersea Park and Battersea Power Station. Battersea is a one-time mixed industrial and residential area with many large housing estates. Large scale regeneration with many new apartments is ongoing at and around the power station site to create a smart new residential district.

Clapham. While mostly in Lambeth a small area of Clapham is within Wandsworth. Clapham is a popular and higher priced residential spot. Rather than being in Clapham as such, Clapham Junction with its extensive rail connections is located between Battersea and Wandsworth.

Earlsfield. A popular suburb with many period properties, a traditional high street and quieter part of the borough popular with families, older residents and an increasingly popular buy-to-let market. It has a station with direct services to London Waterloo.

Nine Elms and New Covent Garden. Nine Elms and New Covent Garden are in the north east of the borough fringing Lambeth and close to central London. These one-time mainly industrial areas are undergoing large scale regeneration to create new residential, commercial and cultural districts. The US Embassy in London has relocated to this new district too. A popular young corporate buy-to-let market and very popular for international student lets.

Putney. Putney fringes the River Thames. Putney has good tube and train links including a direct train to London Waterloo for commuters. It is a fashionable residential spot and a higher priced area. Putney Heath is nearby.

Roehampton. Located to the south of Putney. It fringes green space at Richmond Park and Wimbledon Common. Roehampton mainly comprises large housing estates and is a good value location. Higher yields due to lower property values also this location is a hub for the student market due to Roehampton University.

Southfields. A popular residential location that benefits from close proximity to Wimbledon and the famous All England Lawn Tennis & Croquet Club. It has a tube station on the district line. It has good value property when compared to nearby pricier districts. Some parts of Southfields have housing estates and again lower property values in these areas means better yields for your buy-to-let investment.

Tooting including Upper Tooting, Tooting Graveney and Tooting Bec. Tooting is in the south part of the borough and fringes Merton borough. It has tube services on the Northern line plus rail services to London Blackfriars, City Thameslink, St. Pancras and Farringdon for commuters. Tooting is a one-time working suburb that has become more fashionable in recent years and which has a vibrant, lively atmosphere. Tooting still offers good value property especially when compared to Balham or Clapham.

Furzedown to the east of Tooting is a good value family location, although transport connections are not as good as Tooting itself.

Wandsworth. The main district centre of the borough. It includes the civic offices, Southside shopping centre, fabulous parks and has good train services, including to London Waterloo, as well as great bus links. It is still possible to get good value in Wandsworth compared to pricier areas nearby.

Any rental implications to Wandsworth Rental Property Market?

The proliferation of new build properties and build to rent is gathering pace whilst it will cater for demand from a particular type of tenant such as young professionals and international students. The price you are paying to buy these units, will detract from the return on investment and overall gross rental yields available to the investor. Although rents will continue to rise, the rate of increase will slow down for those who rent out flats in the area. The rent you can achieve, this year, at the high-end market for these new builds, compared to last year, has slowed down. Landlords aren't achieving what they were achieving, last year. This is a concern for landlords as the void periods are squeezing the profit margins and making it more challenging to maintain the spiralling costs associated with their buy-to-let portfolios.

Do you own a property in the borough that you are currently renting?

Renting out your property does come with risks and challenges, it’s all about mitigating those risks. As an agency we will help you not make those mistakes which we know cost time and money. The climate is much more challenging for renting out your property compared to 10 -15 years ago.

If you would like to find out more about our company or have any questions about selling or buying a property in the area for rental investment, then do get in contact with us on: 020 8870 5800 and ask for Matt.

Alternatively, if you would like to book a valuation then please fill in the form below and we will be in touch.

Click on the link for a FREE valuation to complete the form