Bracknell Property Market 2021
While Q3 is approaching, the storm of supply and demand we have seen over the past 12 months is continuing to sustain the property market, despite a slower start to 2021. With the likes of Savills adjusting their market outlook to 4% property price growth for the year, the prospects for the remainder of the year are strong.
Many factors have been contributing to the strong performance of the property market and the success of the South East, with the Stamp Duty holiday being a key driver behind this. However, as London’s recovery continues to stall compared to nearby alternatives, many expect that the rise of the South East is here to stay.
Price rises of up to 17.5% and 8% rental price growth are forecasted for the entire region, but how will Bracknell – a key destination along the ‘Outer Commuter Belt‘ – fare? See what the remainder of the year holds for the Bracknell property market.
Bracknell Property Performance
According to recent Zoopla statistics, the average price of property in Bracknell currently sits at around £414,115, following a £15,728 increase in the past 12 months alone. Regardless of the Stamp Duty holiday, prices in Bracknell have been on an upward trajectory for the last five years, with a 10% increase over this period.
This positive increase should be noted by investors, especially when the area is still considerably more affordable in comparison to the likes of London and Reading. Despite the lack of demand, the average property price in the capital remains at £672,000, while Reading is now surpassing £450,000, on average. Nonetheless, Bracknell property prices have seen growth of over 165% in the last 20 years, signifying the potential of the town.
According to JLL forecasts, this is set to rise even further within the next five years. Fuelled by growing demand and increasing regeneration, property prices across the South East could rise by 17.5%, along with 8% growth in rental prices. As a key indicator of the town’s promising future, Bracknell property investment makes for a potentially lucrative asset.
Not only will regeneration schemes drive the town’s amenities and local facilities, but this has the potential to encourage more businesses to consider Bracknell for regional office space, significantly increasing employment opportunities within the town.
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Bracknell Supply and Demand
Much like we have seen across the wider UK market, a storm of growing demand and constrained supply has been propelling property in Bracknell. With forecasts anticipating a population of nearly 130,000 by 2033, this demand for property is expected to continue indefinitely.
While areas across the South East, South West and the Midlands have seen a 103% increase in prospective buyers over the past five years, the supply of property will continue falling short of the demand we are seeing.
As with many other London Commuter Belt locations, a large proportion of this rising demand is coming from London leavers searching for more affordable rents in greener environments. During 2020 alone, almost seven in 10 Londoners moved out of the capital to the South of England, with this search radius increasing from just 28 to 40 miles. With the town being just 36 miles from the capital, Bracknell property investment sits comfortably in this increasingly popular ‘outer commuter belt’.
Not only has changing tenant demands been a significant contributor to the performance of property in Bracknell, but the town’s ongoing regeneration is also fuelling this demand. The Bracknell 2032 Vision plan is underway, with ambitious plans to rejuvenate the town with new amenities that meet the demands of the town’s new residents. From retail hubs, such as The Lexicon and Princess Square, to progressive work spaces, this will inevitably drive Bracknell property prices further.
Bracknell Economic Forecast
Bracknell’s economic and employment forecast is largely governed by the £770 million regeneration occurring across the town. While the town is already known for housing the largest cluster of tech companies outside the capital, these ongoing projects are transforming Bracknell into a more exciting destination. Offering commercial spaces and contemporary living, this thriving town is attracting both new businesses and an ambitious workforce.
According to data by Huq, a footfall analytics company, the town has experienced 70.4% growth in footfall since lockdown restrictions eased, placing Bracknell amongst the top three busiest towns in the UK. With contemporary retail hubs and The Lexicon, this provides insight into what is yet to come in Bracknell.
Despite the economic challenges of 2020, Bracknell’s economy remained buoyant throughout, with 3,500 jobs created over the year, with an additional 3,873 expected for 2021. In driving the town’s employment opportunities, Bracknell’s LEP is also investing £4 million into a ‘business growth hub’, signifying the town’s commitment to its future.
So what does this mean in terms of the economy and Bracknell property prices? The council’s initial investment into the town has had a domino effect across Bracknell, catalysing more schemes and driving more regeneration as well as attracting more businesses and residents to the town, meaning Bracknell property prices are expected to grow exponentially with increased demand from both homebuyers and tenants.
Key Projects Driving Growth in Bracknell
Future growth can be determined by a combination of factors, but regeneration schemes are a significant indicator of this. Bracknell has numerous developments on the horizon, which aim to meet the demands of its future population.
With the Bracknell 2032 Vision currently working towards building a prosperous future for Bracknell, the investment opportunities are only going to grow. Bracknell property investment is expected to become a potentially lucrative asset, with substantial growth expected across both the sales and rental markets.