The value of all the homes in Warrington has
risen by more than 238% in the past two decades, to £13.174bn, meaning its
worth more than the stock listed company Old Mutual, which is worth £12.714bn.
Those Warrington homeowners and Buy-to-Let landlords
who bought their homes twenty or more years ago have come out on top, adding
thousands and thousands of pounds to the value of their own Warrington homes as
the younger generation in Warrington continue to be priced out of the market. This is even more remarkable because, in those
twenty years, we had the years of 2008 and 2009 following the global financial
crisis, where we saw a short term drop in Warrington house prices of between
15% and 20% (depending on the type of property). And although there have been a
number of consecutive years of growth in property values recently in Warrington
it hasn’t been anywhere near the levels seen in the early 2000’s.
Twenty years ago, the total
value of Warrington property was worth £3.896m. Over those twenty years, total
property values have increased by £9.278bn, meaning today, the total value of
all the properties in Warrington is worth £13.174bn. Even more remarkable, when you consider the FTSE100 has
only risen by 40.84% in the same time frame. Also, when I compared it with
inflation, i.e. the UK Retail Price Index, inflation had risen by 72.2% during
the same twenty years.
So, what does this all mean for Warrington? Well as we enter the unchartered waters of
2018 and beyond, even though property values are already declining in certain
parts of the previously over cooked central London property market, the outlook
in Warrington remains relatively good as over the last five years, the local
property market has been a lot more sensible than central London’s.
Warrington house values will remain
resilient for several reasons. Firstly, demand for rental property remains
strong with persistent immigration and population growth.
Secondly, with 0.25% interest rates, borrowing has never been so cheap
and finally, the simple lack of new house building in Warrington. Not even
keeping up with current demand, let alone eating into years and years of under
investment mean only one thing – yes it might be a bumpy ride over the next 12
to 24 months but, in the medium term, property ownership and property
investment in Warrington has and always will, out ride out the storm.
Email me on manoj@hamletwarrington.co.uk or call on 01925 235338. If you are in the area, feel free to pop into the office – we are based on G5, Warrington Business Park, Long Lane, WA2 8TX. There is plenty of free parking and the kettle is always on.
Don't forget to visit the links below to view back dated deals and Warrington Property News.
No comments:
Post a Comment