Over the last 10 years Northampton has become a hot bed for property and commercial development, in this article we’ll identify where the budding investor should buy land in Northampton to capitalise on this growth with cold, hard cash gains.
With the population of Northampton expected to rise by 25,000 people before 2020, the need for additional housing, industrial and commercial development is only going to get increase.
In comparison, from 2003 – 2013 Northampton grew only 0.7% less than London (see table right).
You’d think that it’d be impossible for the ‘average Joe’ to capitalise on this continued growth in future years, but it really isn’t, for as little as a few thousand pound you could see 100x your investment back within the decade, more if you’re lucky.
The best way to get in cheaply is investing in land that you believe will be required in the future for expansion of industrial, commercial or domestic developers, for free if you can.
Where Should I be Looking to Buy?
So with all this growth, where should you be looking to invest in land around Northampton?
Well, on hand are some lovely plans we’ve “gathered” from the powers that be about the locations identified as potential and sustainable areas for growth in the area.
As you can see from the map below, the orange highlighted areas are those hotspots, the places believed to offer sustainable development opportunities.
In the coming years, maybe 5 or 50, someone is going to come knocking to buy this land for a fancy new community and you could hold that key.
Though we’re far from the investment pro’s, being a Northampton resident for some 30 years I’d personally suggest that the areas around Moulton Park and the M1 corridor around Collingtree would be our suggestions.
These are based on what the areas have to offer in terms of amenities, attractions and environment combined that with the increase in population local governments are expecting the average buying power of these residents to be higher.
Those 2 locations will come at a higher premium, the houses will be more sought after and typically this means the land is also more valuable.
Property and land in these locations is well looked at though, so you’ll have to be snappy.
How Can I Invest?
Often, people wrongly assume you need hundreds of thousands to invest in land and property but if you’re willing to get creative you can pick up some incredible deals, for free sometimes.
For most people reading this you’ll need to get creative with what you’re looking for and the thought of buying an acre on the edge of town is probably not the place to start.
So, take advantage of the booming populations in the area that will result in more demand, more commercial infrastructure and so create higher house prices.
Where to Start?
Assuming you’re in this camp, the first place to start though is on property websites like Rightmove, do a search for Northampton and +10 miles with the ‘land’ filter turned on to get results like this:
So, you’ll need to be on the lookout for property like this (right).
Normally, spaces adjacent to people’s homes are owned by the owners of the house next door.
They’ve fenced off the land and are looking to capitalise on the extra land.
Give them a call, go and meet them and talk about what they’re looking to achieve.
Survey the land and identify what the opportunity is.
- What size of property is possible?
- How much will that be worth?
If the opportunity is there you’ll need to create an ‘emotional’ relationship with the owners.
- Do they care who lives next door?
- Are they having issues selling the land?
- How will they cope with the development noise/disruption?
- Would they prefer they had someone who they could trust owning it?
All these questions are opportunities for you to invest and become a middle man.
For example, offer to manage the sale process, find the perfect residents to purchase the property when its built.
Or, know a builder? Or an Architect? Supplier? Electrician?
Get the whole property or elements of it built at ‘mates rates’, cut in the supplier and offer the current owners a bigger amount of cash back when the finished house sells.
There are loads of ways to invest in booming areas of the country at low levels or even for free. Invest sweat and tears, skills or networking opportunities and get on that ladder.
Cash on the Hip?
For those with a bit of spare change in the bank the opportunities are far more black and white and plentiful.
Opportunities like this are perfect for extracting huge returns.
The land is big enough to build 3 or 4 good size family homes and after speaking personally to the owner. They’re hoping to sell the land for half the price of a normal 1-bedroom flat in the area.
Within a year you could make 15 times your investment.
Of course investing is all relative dependant on the resources you have at your disposal but Northampton is a growing and evolving location with a 15% population grow expected across the current decade.
There are many opportunities to invest, don’t assume that because you don’t have vast resources available that you, it can’t be done.
Get out there, talk to people, offer the skills you have and leverage those people who perhaps do not realise the size of the opportunity that is available.