As you will be very aware, investing in property is about more than cashflow; it’s also about benefitting from the increase in property values for long term financial growth.
We’ve seen some very dramatic growth figures over the past few years with Medway averaging 10.82% growth back in 2022, however since early 2023 the UK has seen negative house price growth, with Medway house prices dropping in value by 2.6% between June 2023 and July 2024.
What you will spot here is that Medway house prices are still significantly up if you consider the 10.82% growth of 2022 and if you look at the period January 2019 to September 2024, Medway properties have increased in value by £52,197 or 20%.
This is significant growth and if you consider say £50k invested in a fund earning 7% on average, you will have realised growth of £22,972 for the same period. That’s something to think about isn’t it!
As the graph below highlights, Medway had a fantastic run of house price increases in 2021 and early 2022, but whilst it has slowed a little you will spot how it is now above both Kent and Maidstone.
Medway, Kent and Maidstone House Price Annual Increases Jan 2019 – Sept 2024
In fact, for the period January 2019 to September 2024, Medway has beaten the Kent average and Maidstone average:
Medway – 2.99%
Kent – 2.72%
Maidstone – 1.88%
Where does the Medway market go from here?
Looking at our recent article that highlighted how the south east is predicted to see a combined growth of 17.6% by December 2029, our prediction is that Medway will continue to see strong growth of around 3% – 4% for the next few years.
With the recent budget having shook up the general economic outlook, we don’t know if it’s possible to easily predict how the coming 12 months will look but reading the latest Zoopla report, we see how 2024 is looking to be a bumper year for sales with agent pipelines being at their strongest for four years and 30% up on last year.
This increase in properties for sale could mean there will be more properties available for investors looking to expand their portfolio, so do keep your eyes out for opportunities!
The overall story for Medway continues to be positive, and we will endeavour to keep you updated!
