We’re well into the football season again now and whether you’re a Rovers or a City supporter, if you’re a fan, you’ll be following your team’s fortunes week in week out for the next few months.
One of the rather more unusual property investment strategies I’ve seen recently is one based on the fortunes of the top football teams!
The research shows that property prices boom near successful teams’ grounds.
Well I guess it doesn’t sound like rocket science to reveal that prices are sky high and still booming in Chelsea!
It does make sense though that with football attracting so many fans, the areas where top premiership clubs are based, are increasing out of all proportion to general local trends. Not surprisingly the greatest and fastest increases occur where a club suddenly shifts up a gear – a Man City type story.
So there’s another reason for supporting our local clubs and hoping one day we’ll have a premiership club in Bristol – it will be great news for us as property investors! (As well as footie fans…).
More seriously though, this does just highlight the potential when invetsing in up and coming areas – and the extent to which new local developments an impact property prices and therefore yields too.
Of course the opposite is also true. Areas in decline or where a very major local business / employer pulls out, perhaps relocating, perhaps shutting down, can have a siginificant effect on investment property.And although the research didn’t say so, I’d guess that relegation might be just as bad news, as promotion is good news, for the football clubs and local property values – if it represents a longer term trend, rather than a single season blip.
One of the upsides we have in Bristol, is that generally it’s a very vibrant buoyant city, attracting new and expanding businesses on an ongoing basis. But areas do still change, and spotting up and coming trends is always an important factor – as is watching for signs of decline.
It all comes back to investing in the right property in the right place at the right time.
Del Brown, Property Investment Expert and author of Making Money From Property – Bristol Fashion
PS In case you were wondering, I’m a Man United fan myself – so I’m not swayed by my personal support when looking at areas to invest in for property in Bristol! It would be great to be able to see Man U in Bristol though, so I’ll be supporting either Bristol club on the way to the premiership!