Best Places to Buy for Capital Appreciation

Is capital appreciation top of your priority list when it comes to capital appreciation?

Whilst this might be only a few steps removed from putting all your money on black, the growth in property prices has made more than a few millionaires over the years so picking the right location and playing the waiting game is certainly not to be scoffed at.

One thing that obviously drives up the price of property in any given location is the demand and desirability of that area, so when an organisation like CEBR (Centre for Economic & Business Research) releases a list of the most desirable postcodes in the UK, it’s worth paying attention.

Locations Set for a Price Boom

In a study commissioned by the Royal Mail, CEBR has compiled a list of the 35 most desirable postcodes across the UK (10 in England, 10 in Scotland, 10 in Wales and 5 in Northern Ireland), based on a number of factors ranging from schools and green spaces to affordability and average commute times.

Across England, there is an obvious North/South divide with the midlands largely missing out on the top 10 spots. Areas spanning the Northern Powerhouse prove to be popular, as well as coastal towns on the South Coast, whilst Scotland’s most popular locations are clustered around Glasgow.

Wales showed an equally close spread with half of the top 10 postcodes centred around Cardiff.

Maximising the Return on Your Investment

Chances are anywhere with the right mix of employment prospects and good amenities for raising a family are already showing signs of a property price boom, but with articles and publications like these shining further attention on specific postcodes there is likely still room for prices to grow into the future.

Investing for capital growth is certainly a different game to those played by many of the guests of the Inside Property Investing podcast who are looking to generate regular cash flow rather than waiting for a bumper payday, but combining the two where funds allow could pave the way to the best of both worlds by looking at any number of investment strategies in these popular areas.

The Top Postcode Areas

England

1. Bebington, Wirral, CH63
2. Norwich, NR6
3. Broadstone, Bournemouth, BH18
4. Sale, Greater Manchester, M33
5. East Cowes, Isle of Wight, PO32

Scotland

1. Neilson, East Renfrewshire, G78
2. Bishopbriggs, G64
3. Kirkintilloch, East Dunbartonshire, G66
4. Eaglesham, East Renfrewshire, G76
5. Milngavie, East Dunbaronshire, G62

Wales

1. Barry, Vale of Glamorgan, CF63
2. Cardiff, CF24
3. Swansea, SA1
4. Swansea, SA5
5. Pembroke Dock, SA72

With this information at hand, the only question that remains for property speculators is how long can prices continue to rise in these areas? With the results of this research gaining widespread attention, perhaps the boat has already sailed.