High Path Estate property market outperforms Cottenham Park's by nearly 55%

Following a conversation with a landlord from Cottenham Park area in Raynes Park, we were discussing his Buy to Let properties in Raynes Park where he owned one and how different it is from his other property which is in Priory Close, High Path Estate.

Cottenham Park takes its name from Charles Pepys, 1^st Earl of Cottemham who lived in West Wimbledon and served two terms as Lord Chancellor and is one of the highly desirable neighbourhood to live in. The average three bedroom property in Cottenham Park sells for around £725.000 and rents are on average £2.550.

With this in mind, it was a surprise to find that similar three bedroom property on Priory Close, High Path Estate have outperformed those in Cottenham Park. This is because a three bedroom property in High Path Estate can be bought for around £276.700 and the achievable rents can be around £1.500 per calender month. The yield which could be achieved from property in High Path Estate is around 6.5% per year. When we compare this to the possible 4.2% in Cottenham Park, it is nearly 55% higher in High Path Estate.

However, we must remember that yields are not the only factor when investing in a Buy to Let investment as you should also consider how much the value of the property goes up in the long term. In the last 12 years the average value of a three bedroom property in High Path Estate was around £157.000, which has since risen on average by 56%. A three bedroom property in Cottenham Park was around £335.000 meaning the value has increased on average by an impressive 116% in the same 12 years.