Bexley Buy-to-Let 2024 Guide

The average rent in Bexley is £1554, as per housesforsaletorent.com, which is higher than the average UK rent of £1283 PCM, as stated by the HomeLet Rental Index. London rents are famously much more expensive than the rest of the country, and the average monthly rent in London is £2192.

Bexley is considered a more affordable area of the capital to reside in, and it was named the cheapest local authority for rent in the London area by Zoopla, who calculated the average monthly rent to be £1455. Foxtons identified South London earlier this year as the most popular area in London for renters, with 28 renters per new instruction.

But it isn’t only an appealing area for renters; London property investors searching for an excellent rental yield should also have Bexley on their radar. According to a Zoopla Buy-to-Let Report, Bexley is the third-best part of London when it comes to average gross rental yields, coming in at 5.38% – a decent yield for the capital.

The BBC states that the Bexley area experienced 11.1% yearly rental growth from January 2022 to January 2023, showing that Bexley is falling in line with the national trend towards double-digit annual percentage increases. This is due to the extreme undersupply of rental properties across the UK, which has been pushing rents up rapidly in the past few years.

The London Borough of Bexley is part of Outer London, consisting of several settlements. The main ones are Barnehurst, Sidcup, Erith, Bexleyheath, Belvedere, Crayford, Welling, and Old Bexley.

The eastern part of Thamesmead also encroaches into the borough, another area of London known for being more affordable. There are also popular districts and boroughs outside of Bexley but nearby. Dartford is next door to the east, and Bromley is in the south. Eltham, part of the borough of Greenwich, is another in-demand area for property.

Average Property Prices in Bexleyheath

£439,023

Average Rental Yield in Bexleyheath

4.28%

Average Property Prices in Abbey Wood

£402,232

Average Rental Yield in Abbey Wood

4.56%

Well-Connected Travel Links

Bexley, like many other South London boroughs, is less well-connected than other areas of the capital when it comes to tube services. A promising development is that the Elizabeth Line opened last year, connecting Abbey Wood to Canary Wharf in just over ten minutes – half the previous journey time.

But residents of Bexley can opt for National Rail services or one of the many bus routes into central London to make up for this deficit, so it is still a convenient area to live for those who commute into central London, with good transport links.

London rents are much steeper than average, and this fact, along with the higher cost of living, has led to reports of tenants making the move out of London and into cheaper areas, including commuter towns. However, the lure of Greater London isn’t likely to fade completely any time soon. Less central areas of London, such as Bexley, can offer a good balance between proximity to the work and education opportunities in the capital and a relatively more affordable lifestyle.

Green Spaces

Bexley is an outer London borough on the border of Kent, and it benefits from offering more green spaces than other areas of London. There are over 100 parks and open spaces, including Danson Park, which boasts 75 hectares of trees, a lake, and various facilities like watersports and boating.

The area is home to various cycle routes and a Thames Riverwalk. Bexley’s location also makes reaching Kent’s rolling hills and peaceful countryside a relatively easy journey.

Post-pandemic, proximity to green spaces has become an even more attractive feature of buying a UK rental property in the eyes of prospective tenants.

Take a look at our updated eco-investment guide for more on sustainability and the buy-to-let market!

Newly constructed properties often draw interest from tenants but can be pricier for investors compared to traditional residential units.

One strategy to make new-build properties more affordable is to invest through off-plan property investment, which involves purchasing a property before construction is completed. Getting involved early often allows investors to secure units at discounted rates.

Off-plan investment offers the potential for significant appreciation in property value as construction progresses, leading to increased capital growth as the property nears completion. These properties typically experience strong rental demand, potentially resulting in substantial rental yields in the future.

Successful off-plan investors often target emerging areas with robust infrastructure and growing job markets, as locations undergoing substantial regeneration present attractive opportunities for future construction projects.

While off-plan investment potential exists in the Bexley rental market, investors might find more lucrative prospects in UK cities with a broader range of new-build developments, such as Liverpool and Manchester.

Read More: Discover more about this investment trend with our recent buy-to-let guides, covering everything from off-plan property in Belfast to the latest UK hotspots!