Property investment stats for Borough, South East London

• Borough offers strong rental yields of 5.3%, especially in SE1 where yields reach 5.3%.
• The area’s large student and young professional population (both in the 99th and 94th percentiles) ensures consistent demand for rental properties.
• Liquidity is reasonable for London, with annual sales at 308 and properties typically spending 69 days on the market.

• Recent capital growth has changed by -13.4% over the past year and by -7.5% over three years, suggesting limited short-term price appreciation.
• The price-to-income ratio of 8.5 and rent-to-income ratio of 46.8% indicate stretched affordability, which could limit further upside for both buyers and renters.
• The median achieved price is below asking by £13,500 (the typical achieved discount), hinting at some negotiation power for buyers but also possible price sensitivity in the market.

Rental demand in Borough is likely to remain robust, given the concentration of young professionals and students. With owner-occupation in the 1st percentile and private renting in the 95th, the local market dynamic will continue to favour landlords over owner-occupiers. Asking rents for both 2-bedroom flats (£3,400) and 3-bedroom houses (£19,933) remain high, reflecting ongoing demand.

However, capital values have seen changes by -13.4% in the past year, and affordability remains a challenge for both buyers and renters. Investors should expect stable rental returns in the short term, but limited prospects for significant capital growth unless affordability improves or the market dynamic shifts. Overall, Borough offers a solid rental proposition but is less compelling for those seeking capital appreciation in the next year.