Property investors in Cambridge would do well to look at the new homes being built in Northstowe, where they can find highly rentable places with a significantly cheaper price tag than they might be used to.
Vistry Group is currently building properties just 10 miles north of the centre of the university city, under its Linden Homes and Bovis Homes brands.
Prices currently start at £395,000 for a four-bedroom Linden Homes townhouse at The Boulevards location in Northstowe, while at Bovis Homes @ Northstowe you can buy a spacious three-bedroom, three-storey town house for £445,000. That’s a far cry from the average property price in Cambridge, which according to recent figures from Rightmove is more than £530,000.
And the savings are even greater if you compare the cost of detached homes. At The Boulevards you can buy the three-bedroom detached Doddington house type, for £402,500. While figures for average prices in the city will vary according to exact location and quality, the average overall price of a detached house in Cambridge was more than £860,000 over the last year, according to Rightmove figures.
Nic Chapman, sales and marketing director of Vistry East Midlands, said: “You don’t need to be a maths professor to see the savings investors can make by setting their sights on a development a little way outside Cambridge.
“Take a property such as the Aslin, which is for sale at The Boulevards for under £400,000. With four bedrooms and an open-plan kitchen diner and patio doors leading out of the living room into the garden, it is a perfect family home. It would certainly be a desirable rental property for tenants, and from a landlord’s perspective it costs much less than an equivalent place in Cambridge itself.
“And at Bovis Homes @ Northstowe, the Winchcombe II has a modern open-plan kitchen, dining area and family room with bi-fold doors leading out to the garden, plus a sitting room and separate study on the first floor as well as three bedrooms on the top floor. You can just imagine potential tenants being attracted by the lifestyle that offers.”
Northstowe offers much more than only the initial financial benefit, too. Homes England’s vision for growth at Northstowe includes infrastructure to cement the new town’s legacy and improve its long-term financial forecast, ideal for investors to capitalise on.
Northstowe’s strategic infrastructure schedule will include over 6,000 jobs being created, the opening of eight new schools, three sports hubs and a town centre, among other retail and commercial opportunities – all leading to a gross domestic value of £3bn.
Nic Chapman, added: “These properties were designed from the ground up to work for modern life. People want to live in light, spacious homes where they can enjoy family life and entertain their friends – and these properties give them that. It makes perfect sense for investors to purchase homes like this, in this location, for the rental market.
“Residents can still be in Cambridge, around 10 miles away, in 20 minutes or so, so it works for commuters and people who simply want to enjoy nights out and day trips in this beautiful and historic city.
“Not only that, but because they are new-build homes, there are no repairs, renovations, or refits to be done by landlords before they get started. They are ready to be lived in and rented out, so they start earning their keep and repaying that investment right away.”
The energy efficiency of Vistry’s new build properties should also be of interest to investors, with new rules coming to force from April 2023 which indicates that landlords most only let properties with an Energy Performance Certificate (EPC) rating of E or above.
New build homes are emitting one third less carbon than older properties and are therefore much more likely to rate highest on an EPC check. Vistry Group is building energy efficient homes at Northstowe which all rate between A and C on an EPC.
Northstowe is a new town which will eventually have more than 10,000 new homes, as well as schools, GP surgeries, shops and community facilities.
The Boulevards and Bovis Homes @ Northstowe each include a range of two to five-bedroom properties. Linden Homes and Bovis Homes are part of the Vistry Group, which also includes Vistry Partnerships.
For more information about Bovis Homes and Linden Homes properties at Northstowe, visit www.bovishomes.co.uk or www.lindenhomes.co.uk/eastmidlands.
References to “we”, “us” or “our” are to the part of the Vistry Group (including Linden Homes, Bovis Homes, Countryside Homes, Drew Smith or one of Vistry’s joint venture companies) from which you are intending to purchase a new home. References to "you” and “your” are to the prospective buyer or buyers of a new home from us.
All images are used for illustrative purposes only and are representative only. They may not be the same as the actual home you purchase and the specification may differ. Images may be of a slightly different model of home and may include optional upgrades and extras which involve additional cost. Individual features such as windows, brick, carpets, paint and other material colours may vary and also the specification of fittings may vary. Any furnishings and furniture are not included in any sale. Please check with our sales consultants for details of the exact specifications available at the development(s) for each type of home and the associated prices.
