Battersea Buy-to-Let Guide

According to Rightmove, the average price of a property sold in Battersea over the last year was £1,123,576. As a sought-after London area, it’s not surprising that Battersea has an average property price of over £1 million, but property investors should take note that this is much more expensive than the average UK house price of £281,913, as stated by the UK House Price Index.

The average sold price is 4% down on the previous year and 3% up on the 2020 peak. This subdued growth is characteristic of 2023, which was described as a challenging year for the UK property market.

But is this stunted growth set to continue in the Battersea property market? According to Savills, the UK market overall is set to return to healthy growth in the next few years, and London is predicted to grow by 13.9% leading up to 2028.

Learn More: Our guide to the best buy-to-let areas in London details the latest market trends to help you find what to invest in right now!

There’s a wide range of properties on offer in the Battersea district. One of the most common houses in the area is Victorian terraced housing built in the late 1800s. Many of these houses have been converted into separate apartments. Plenty of new developments exist, including luxury apartments for those who are into more contemporary living. But these newly-built properties can be exceptionally pricey thanks to the in-demand location and high-quality amenities.

According to Rightmove, the majority of sales around Battersea during the last year were flats, selling for an average price of £815,000—terraced properties sold for an average of £1,853,946, with semi-detached properties fetching £3,291,008.

Find Out More: Want to find the best buy-to-let locations in the UK? Our expansive resources detail everything from how to build a property portfolio to investing in property as a beginner!

Average Property Prices in Clapham Junction

The average property price in this area is £928,015.

Average Rental Yield in Clapham Junction

The average rental yield in this area is 5.66%.

Average Property Prices in Battersea Park

The average property price in this area is £1,140,414.

Average Rental Yield in Battersea Park

The average rental yield in this area is 4.31%.

(Average property prices were taken from Rightmove in early 2024; rental yield estimates were calculated with figures from housesforsaletorent.co.uk in the same period)

What is the Best Area of Battersea to Invest in?

All parts of Battersea have expensive property prices, but in particular, the area around Battersea Park is especially sought-after as a residential district, which is reflected in the high cost. Out of the places we looked at, the property surrounding the Battersea Power Station had the highest yield.

Despite the high property prices, decent yields can be achieved in Battersea due to the expensive average rent. However, overall, average yields in this area are not that high compared to some other regions.

History of Battersea Power Station

Battersea has undergone considerable development in recent years. This includes the massive revamp of the iconic Battersea Power Station, a vibrant, mixed-use development including flats, retail units, and commercial spaces while retaining the building’s distinctive art deco character.

The Grade II listed landmark was once a fully functional power station that supplied a fifth of London’s electricity. It was decommissioned between 1975 and 1983 and left derelict for decades while various development plans were put forward and ultimately fell through or were rejected.

After redevelopment work started in 2013, there were partial openings in 2019, and residents began moving into their units in 2021.

There was a grand opening in 2022, but this development is ongoing while Wandsworth Council continues targeting the broader area for regeneration projects. When the development is complete, 25,000 people will reside in and around Battersea Power Station, creating one of London’s largest office, retail, leisure, and cultural quarters.

Apartments in the Battersea Power Station Area

The Battersea Power Station area has become the borough’s regeneration success story, with demand ramping up for apartments and flats in the district.

This is due to the many young professionals interested in the area who are more likely to rent long-term and choose flats over houses because of price limitations and the luxury amenities in many of the new-build developments around the Battersea Power Station and the wider Thames-side area.

This is also thanks to students, who will often go for flats in purpose-built student accommodation that can be found in Battersea.

However, for investors exploring apartments in this area, it’s worth noting that these flats are generally more expensive than the average UK property. Better value can be found elsewhere, especially in the North of England, where a luxury apartment in a major city can be acquired for a fraction of the price of a Battersea flat.

As a coveted residential area, off-plan opportunities are common in Battersea and the surrounding areas. But even with the possibility of a discounted price gained through choosing the off-plan route, buy-to-let properties for sale in London are still much more expensive than in other UK regions, especially when it comes to luxurious new developments found in London.

Investors looking for a better deal could explore off-plan property in Bexley and other more affordable parts of London. If you’re willing to look further afield, off-plan opportunities in different regions, such as the North West, are much cheaper than those in Battersea. In particular, developers often target Manchester and Liverpool by offering off-plan investment routes.