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Property investment stats for Watford (Watford), East of England

A complete guide to property investment in Watford.

Last updated: 18 September 2025

Investment summary

Watford offers a balanced property market, with a mix of owner-occupied and private rented homes that makes it appealing for both investors and residents. The area is family-oriented, as shown by its high standing in the families household percentile, while also attracting a younger workforce and a strong professional base. Investors will note the average rental yield of 5.7%, which is competitive for the region. Recent capital growth has been modest, with a 1-year capital growth of -0.3% and a 3-year annualised growth of 1.0%, suggesting steady if unspectacular performance.

Image of Watford (Watford), East of England

Key investment stats for Watford

Median price per sq ft

£497 / sq ft

Average rental yield

5.7%

Capital growth (1y)

-0.3%

Sales in past year

1,270

* Property stats calculated for last full calendar year (2024).

Live property stats in Watford

Live prices in Watford (Watford), East of England

* Extreme prices clipped for legibility

Properties for sale

Median price

£425,000

25% of properties below...

£300,000

75% of properties below...

£635,000

Most expensive property

£3,950,000

Live listings

982

Median days on market

58

Should you invest in Watford?

Opportunities

  • The average rental yield of 5.7% is attractive, and investors seeking even higher returns will find the top postcode district offering yields of 7.6%.
  • High demand from families, young professionals, and students creates a reliable tenant base, supported by the area’s high percentiles for family households and younger populations.
  • The median discount of £8,000 (the typical achieved discount) between achieved and asking prices may offer scope for negotiation and value-add strategies.

Risks

  • Modest capital growth, with 1-year capital growth of -0.3% and 3-year annualised growth of 1.0%, means investors should not expect rapid appreciation.
  • The price-to-income ratio of 6.5 and rent-to-income ratio of 27.4% suggest affordability could be stretched for some local buyers and renters.
  • Properties spend an average of 58 days on the market, which could affect liquidity if you need to sell quickly.

Outlook

Watford’s property market should remain resilient over the next 12 months, given its strong demand from families and professionals, as well as a solid student presence. The current median asking sale price for a 3-bedroom house is £550,000, while the median asking rent for a 3-bedroom house is £2,100; these figures reflect the area’s popularity but also underline the importance of affordability.

Rental yields look set to stay competitive, especially in the top-performing districts, and the consistent demand from renters will help underpin returns. However, investors should temper expectations for rapid capital growth, as recent trends show only modest increases. All things considered, Watford offers a stable, income-focused investment environment with a reliable tenant base, though price growth is likely to remain steady rather than spectacular.

Live properties in Watford

Investment properties in Watford (Watford), East of England

1 bedroom property for sale
31% below median price

£115,000 - Guide Price

1 bedroom property for sale

Church Road, Watford, WD17

Properties needing refurbishment in Watford (Watford), East of England
Needs Refurb
3 bedroom terraced house for sale
29% below median price

£250,000

3 bedroom terraced house for sale

Garfield Street, Watford, WD24

Priced to sell properties in Watford (Watford), East of England
Priced to Sell
3 bedroom terraced house for sale
On market for 177 days

£500,000 - Offers Over

3 bedroom terraced house for sale

Sheepcot Lane, Watford, WD25 7FL

Slow to sell properties in Watford (Watford), East of England
Slow to Sell
2 bedroom ground floor flat for sale
Reduced by 17%

£125,000

2 bedroom ground floor flat for sale

Lower High Street, Watford, WD17

Big price drop properties in Watford (Watford), East of England
Big Price Drop
5 bedroom terraced house for sale
High yield opportunity

£525,000

5 bedroom terraced house for sale

St. Marys Road, Watford

HMO properties in Watford (Watford), East of England
HMO
4 bedroom detached house for sale
2,615 sq ft

£1,500,000 - Guide Price

4 bedroom detached house for sale

Nancy Downs, Oxhey Hall, Watford

Properties with planning granted in Watford (Watford), East of England
Planning Granted
1 bedroom flat for sale
69% below median price

£108,500

1 bedroom flat for sale

Yeatman Court, Watford, WD24

Low price-per-sq-ft properties in Watford (Watford), East of England
Low Price per Sq Ft
2 bedroom flat for sale
38% below median price

£125,000 - Guide Price

2 bedroom flat for sale

70A St. James Road, Watford, Hertfo...

Auction properties in Watford (Watford), East of England
Auction

Achieved vs asking prices

Key takeaway: Balanced market

Typical discounts are limited but real — expect to achieve a reduction off asking.

Headline stats

• Median discount: £8,000

• 1 in 4 properties sell at > £15,000 below asking

• 1 in 10 properties sell at > £25,000 below asking

In percentage terms:

• Median discount of 1.7%

• 25% of properties discounted by > 3.5%

• 10% of properties discounted by > 5.0%

Best places to invest in Watford

Top postcodes for rental yield and (annualised) capital growth

Rank
Postcode
Yield
Capital growth
Median £/sq ft
1WD187.6%0.7%£473 / sq ft
2WD176.1%-1.3%£497 / sq ft
3WD255.6%0.8%£486 / sq ft
4WD245.4%1.6%£498 / sq ft
5WD194.7%1.1%£514 / sq ft

Data sources

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.