Property investment stats for Herne Bay, South East

• The average rental yield of 6.8% is attractive for investors seeking income, with the top-performing postcode district offering 6.9%.
• The median achieved minus asking price of £9,995 (the typical achieved discount) suggests scope for negotiation and potential value buys.
• The area’s private rental sector is in the 69th percentile nationally, indicating robust ongoing tenant demand.

• Capital growth has been muted, with a 1-year change of -6.5% and a 3-year annualised rate of -0.3%, which may not appeal to those seeking appreciation.
• The population is older (92nd percentile for over-60s), so long-term tenant churn and demand from younger renters may be limited.
• The rent-to-income ratio of 27.8% is relatively high, which could cap further rental increases if affordability becomes stretched.

Over the next year, Herne Bay’s property market is likely to remain stable, with income-focused investors continuing to benefit from strong rental yields of 6.8%. However, with capital growth over 1 year at -6.5% and over 3 years at -0.9%, price appreciation looks limited for now.

Liquidity should remain healthy, given the annual sales of 344 and average time on market of 63 days. Buyers can expect to negotiate, as indicated by the median discount of £9,995 (the typical achieved discount). In summary, Herne Bay is best suited to investors who prioritise rental income over capital gains, and who are comfortable with an older, stable tenant base.