Why Invest in a Young City?

Lower Price Points 

Up-and-coming areas often have lower living costs and more affordable housing prices initially. Look for areas where housing and living costs are still below the national average. These areas will be great places for first-time buyers to look to invest to start their portfolio. The starting price for houses in this area will be more reachable for the average person, as the deposit required will be lower than a property in a well-established city. For example, the average person cannot afford to invest in London. However, they probably could in cities such as Hull and Wakefield. With lower house prices, not only will you see strong returns but will be less exposed financially, reducing the risk of loss. 

Furthermore, these areas have more room for prices to increase as demand rises. Many people looking for homes look for smaller cities outside of other major cities if they’re working professionals or students. This is because they have access to lower-priced housing but will only have a short commutable journey away from where they need to travel for work or education. 

Attractive to Buyers

Amenities

Most cities will have everything a resident needs within the area such as shops, healthcare facilities, schools, and entertainment. This means that unless an individual is looking for something, in particular, to live in close proximity to, tenants will be happy to get a better deal on house prices. 

However, regeneration is constant across the UK so investors can look for areas with plans for new amenities and entertainment options. New shops, restaurants, parks, and transit systems make an area more desirable. This will surely boost housing demand and trigger price growth. See what new amenities and infrastructure are proposed or under development in the city to be aware of the growth that will occur. 

Accessibility

Areas located within a reasonable commute of significant cities and transportation hubs tend to see higher demand. Look for up-and-coming places within an hour of a central metro area. Proximity to transport, like trains and Motorways, also makes an area attractive. Check travel times to surrounding cities and what public transport options currently are available or are in planning to be created.