A complete guide to property investment in South Merstham.
Last updated: 18 September 2025
South Merstham offers a stable environment for property investors, with a strong presence of families (in the 95th percentile nationwide) and a high proportion of professionals and managers (in the 66th percentile). The area’s housing market shows moderate activity, with properties typically spending 64 days on the market and a median discount of £5,000 (the typical achieved discount), suggesting buyers have some room for negotiation. Affordability is reasonable, with a price-to-income ratio of 5.5 and a rent-to-income ratio of 23.8%, making the area accessible for both buyers and renters. The supply of homes is balanced, as reflected in the annual sales figure of 85.
Median price per sq ft
£445 / sq ft
Average rental yield
4.1%
Capital growth (1y)
1.2%
Sales in past year
85
* Property stats calculated for last full calendar year (2024).
Live prices in South Merstham, South East
* Extreme prices clipped for legibility
Median price
£455,000
25% of properties below...
£340,000
75% of properties below...
£625,000
Most expensive property
£1,750,000
Live listings
120
Median days on market
64
Looking ahead, South Merstham appears well-placed for steady performance. The annualised growth rate over three years is 2.3%, suggesting the area is not prone to sharp swings but offers gradual appreciation. With a strong family presence and a high proportion of professionals, demand for larger homes is likely to remain robust.
Rental yields such as 4.1% and the asking rent for a 2-bedroom flat at £1,550 help underpin the income case. Investors should expect moderate liquidity and a stable environment, with no signs of overheating or dramatic changes on the horizon.
Average yield (%)
* 2025 data for YTD
Median price per sq ft (£/sq ft)
* 2025 data for YTD
Investment properties in South Merstham, South East
£150,000 - Guide Price
1 bedroom flat for sale
Albury Road, Merstham, RH1
£365,000 - Guide Price
Property for sale
5 Flats - Freehold & Building Plot...
£228,000
2 bedroom apartment for sale
Tilers Close, Merstham, Redhill
On average, properties sell slightly below asking; careful comp analysis is key.
• Median discount: £5,000
• 1 in 4 properties sell at > £10,000 below asking
• 1 in 10 properties sell at > £18,500 below asking
In percentage terms:
• Median discount of 1.2%
• 25% of properties discounted by > 2.4%
• 10% of properties discounted by > 3.8%
Top postcodes for rental yield and (annualised) capital growth
GeoGlider calculates property investment stats by blending official and proprietary datasets. Here's a quick overview of key sources and how we use them:
HM Land Registry: Property transaction and sold-price records for England & Wales used to calculate historical capital growth, price levels and comparables.
Office for National Statistics (ONS): Demographic and economic indicators for the UK, including Census 2021, supporting area profiling and market context.
Ordnance Survey: Authoritative UK geospatial data powering accurate boundaries, roads and terrain for mapping and spatial analysis.
GeoProp: Our proprietary AI pipeline that processes millions of property listings to extract rich features and live market signals.
Department for Levelling Up, Housing & Communities: Energy Performance Certificate (EPC) scores and property floor areas.
HM Revenue & Customs (HMRC): Household income and employment data to understand local affordability and economic conditions.
Data is updated continuously, matched across sources and rigorously validated.