Property investment stats for Balham, South West London

• The strong rental demand from young professionals and couples, reflected in the high private rented housing percentile and robust rents (e.g. £2,525 for a two-bedroom flat), makes Balham attractive for buy-to-let investors.
• With owner-occupation in the lower percentiles and a high proportion of degree-educated residents, there is potential for continued rental growth and stable occupancy rates.
• Capital growth over the past year has been positive at 1.2%, and the three-year figure of 5.3% suggests long-term stability.

• Affordability is stretched, with a price-to-income ratio of 7.0 and rents also in the higher range at a rent-to-income ratio of 28.3%.
• The market is competitive, with properties spending an average of 59 days before being sold and a median achieved-minus-asking price of £2,000 (the typical achieved discount), which may limit negotiation opportunities.
• The low proportion of families in the area (7th percentile) could limit demand for larger homes compared to flats and smaller properties.

Balham’s property market is set to remain lively, supported by a steady influx of young professionals and couples. The area’s appeal is underpinned by strong rental demand and relatively high liquidity, with 737 properties sold annually and a typical time on market of 59 days. Investors can expect the current pattern of modest but positive capital growth to continue, with three-year annualised growth at 1.7% and a one-year figure of 1.2%.

With a stable, affluent tenant base and solid rental yields, Balham looks well-placed for those seeking long-term returns rather than speculative short-term gains. While affordability remains a challenge, this is par for the course in much of London and does little to dampen demand in such a well-connected neighbourhood.