The holy grail of property investing is to get your investment into an area or property just before values move upward exponentially.
Finding such areas takes skill, effort and no little amount of luck.
Meticulous investigation and planning are your best tools. Do not believe all you hear on TV renovation programmes, they are for entertainment rather than your education.

Start Spotting Early

• You do not need to be first into a new market area. Explorers and expeditionary forces face the most problems.
• There are good profits to be made by being an early adopter of a good idea or area.
• Talk to local agents for advice but filter out the sales speak.
• Tramp the various patches taking care to look for those areas adjacent to those that have recently been upgraded or hot spots themselves.
• Know the areas where the original building was good quality. Victorians and Edwardians could jerry build with the best.

Hot Spot Indicators

• When a trendy area becomes too expensive or just plain ‘full up’ the adjacent areas can quickly become fashionable.
• Areas where new work is in evidence are good signs. Skips in the street, smart new doors and windows (wood is best), scaffolding etc.
• Better quality, late registration cars in the area.
• Upmarket shops are getting planning permission to open in the area eg Starbucks, M&S Simplyfood, Waitrose
• Newsagents seem to be stocking a better range of life style magazines.

Hot Spot Essentials

• Good local facilities are a prerequisite. Shops and transport for singles market. Good schools and parking for families.
• No or low crime areas.
• Availability of renovation and maintenance skills in the area.
• No local planning blight or negative development issues.

Spot The Bargains

• It is not always the area that is your sweet spot for investment. Know your onions and specialise for a good return.
• Rarity carries a premium and a distinctive property should attract a premium or niche following.
• A property that has been on the market for a long time may be a dog not a bargain.
• Local natural features, rivers, hills, national parks can stimulate good zones.

Comment on Hot Spots

• Hot spots congregate together.
• Find where your investment will add the most tangible value.
• Do not pick zones where you or your family would not wish to live.