Last week, a landlord came in to our office to ask about the York property market and what was happening to property values in York. My ears pricked up as anyone who knows me knows if there are two things I love talking about, it’s York and Property. This gentleman owns a varied portfolio of rental properties, primarily in York, so it was interesting to compare the increase in property values around the area.
According to data compiled over Zoopla, over the last 12 months the average property value in York has risen by nearly £3,747, from £293,357 to £297,104. This is a reasonable 1.28% increase. If we break it down to types of properties, all types of properties have exhibited capital appreciation which is great for York property owners. I must say I was surprised by some of these results.
According to the data, when I looked at the values for detached houses, this average increase was £1,754 over the last twelve months. However, York flats were the clear trailblazers reaching a whopping £12,776 uplift in the last twelve months. This is a considerable average increase of £245.69 per week. On a monthly basis this works out to be £1,064.67. If you read one of my previous articles (the one regarding York properties being the most affordable in the region), I noted that the average York salary was circa £33,000. Stay with me, I’m going somewhere with this. This salary post tax leaves a take home pay of around £2,152 per month meaning that on average, York flat owners earned over double per month than their flats did. For all those York apartment owner/occupiers out there, you have the added benefit of not getting lumped with a Capital Gains tax bill should you come to dispose of your asset!
When I looked at some of the surrounding towns, Selby has a lower average increase in property value, at around £21.27 per week, whilst Leeds actually reported a decrease in value over the last twelve months of around (£27.19) per week. Nonetheless, a rise in average property values in our area is apparent.
So where do the honourable mentions in York go? From the below list, the best weekly performers were the Bootham & Fulford areas outperforming the YO24 postcode area.
Holgate – £43.77 per week increase over last year
Acomb – £49.90 per week increase over last year
Haxby – £58.65 per week increase over last year
Huntington – £62.35 per week increase over last year
Fulford – £70.90 per week increase over last year
Bootham – £73.44 per week increase over last year
When considering this landlord’s buy to let portfolio, the rental values have remained fairly stable during the 12 months. They are slowly recovering to the average of around 5 years ago; therefore it could be a good time to invest in the property market in York. If you would like some advice about buying to let, please come and see us at our offices.