Research shows landlords get a better return

The North Acton area is becoming the buy-to-let capital of West London, according to latest research.

The data, from estate agents Portico, shows that although there has been an overall decline in rental yields – the calculation a landlord makes when exploring a new investment - for at least the past five years, they are still higher here than almost all other areas of London.

Crossrail has put Ealing and Acton on the map, but Portico says landlords should take a 'forensic' look at where to invest in Acton.

In what they describe as 'the popular and gentrified' East Acton area, landlords can expect an improved yield at 4.1 per cent. However, in the area around West Acton station, landlords are only likely to achieve 3.5 per cent.

In North Acton - the Park Royal area - a landlord can expect a yield of 4.7 per cent, currently one of the highest returns in London.

The data also revealed that Hammersmith, although with lower yields, remains a safe investment for landlords. Brackenbury Village, the area around Ravenscourt Park, achieved strong yields of around 3.6 per cent. Whereas established and popular residential streets including Askew Road are attracting slightly reduced yields at around 3.4 per cent mainly as a result of price increases.

Robert Nichols, Managing Director, Portico, Estate Agents in Acton, said:

“Thanks to the anticipated arrival of Crossrail in 2018, Acton is a top investment choice. But landlords still need to think carefully about where in Acton they want to invest. Many London landlords are still relying on buy-to-let mortgages and a very small difference in yield can affect whether they make a profit or a loss.”

The Portico Yields Calculator can be found here: www.portico.com/yields

4th February 2016