Bracknell Property Market 2022
As the country continues to see a boost from the stamp duty holiday and incredible demand from a market that was on hold for most of 2020, experts suggest that mainstream house price growth for the UK could equal 9.0% by the end of 2021.
When we dive deeper into the South East, the outlook is even more positive. Savills revised forecasts suggest that the region will also end the year seeing price growth of 9.0%, before experiencing a further 10% over the next four years.
Similarly, rental prices are expected to rise by 9% by 2025 according to JLL, demonstrating the potential of both key income streams for investors.
This overall price growth of 19% for the Bracknell property market is significantly higher than Greater London, which is only forecasting 12.4% over the same period – highlighting the potential within the market. With most properties in the South East already much more affordable than London, these predictions demonstrate the strength that property for sale in Bracknell could have in 2022.
Current Bracknell Property Performance
According to Zoopla, the average price of property in Bracknell currently sits at £377,945, following a drop in prices during the pandemic. Despite this fall, the long-term performance over the last five years has been positive, with prices rising by around £12,700.
It should also be noted that the Bracknell property market remains a favourable, affordable alternative to its peers. Despite long-term growth, prices in the capital are still around £271,000 higher, while nearby Reading remains £48,000 more expensive.
This disparity also raises the question of rental yields. The average Bracknell property is driving yields of 5.48%, while Greater London and Reading is only managing 2.90% and 3.27% respectively. While price growth has been higher in these two regions than Bracknell, the Bracknell property market remains an affordable, high-yielding entry point into the South East.
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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.
According to OnTheMarket, the current demand for apartments in Bracknell is already outweighing supply, meaning any increases in population will likely only exacerbate this further.
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
With the British Chamber of Commerce (BCC) suggesting that the UK economy could return to pre-pandemic levels as early as Q1 2022 – translating to 5.1% growth over next year – the South East will be in a prime position to take advantage as a powerhouse of the UK economy.
This will likely coincide with the next phase of the Bracknell Vision project that is rejuvenating the town. With The Deck – a major scheme within the town – still on track to be completed in 2022, it will drive even more traffic to a town that has already seen £770 million invested into its infrastructure.
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 and 2021, Bracknell’s economy remained buoyant throughout, with 3,500 jobs created over the year, with an additional 3,873 expected to be created by the end of the year. 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.
This would fit nicely with the BCC also predicting that business investment is set to rebound stronger in 2022, driven by the boost from restrictions easing and the introduction of the ‘super-deduction’ incentive.
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.
Bracknell Key Projects in 2022
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.
While The Lexicon has provided immeasurable benefits to the town, future schemes as part of the wider plan look set to build on these successes. The Deck, planned to complete in 2022, will be a major part of the next phase.
A covered public space that will feature new shops, bars, restaurants and entertainment, the former Bentall’s department will be transformed, linking Princess Square and The Lexicon together.
It’s hoped that once this project is completed – scheduled for August 2022 – the new two-level public square will ‘become a focal point of the town centre’.
The Grand Exchange
The Grand Exchange presents a new standard of living for apartments in Bracknell. Every property is designed to the highest specification and provides spacious living flooded with natural light to create a warm and contemporary atmosphere for residents.