Each week we search the local property market for good potential investments, not only for new landlords looking to dive into the residential property market but also portfolio landlords looking to bulk up their portfolio. This week we spoke with a local estate agent who suggested this four bed offering which when fully let could allow for an impressive 10% potential gross yield. Let us know what you think?
This spacious 4 bed mid-terraced house is located in Hyde Park close to the bottom end of Burley, both very popular student districts of Leeds. Nearby are the fantastic shops, restaurants, and pubs that Hyde Park has to offer. More importantly it's close to Leeds University and the City Centre and excellent transport links such as Burley Park Train Station and bus stops which take you to Headingley and Leeds Beckett University.
According to the agent's description this WELL MANAGED FOUR BEDROOM DECEPTIVELY SPACIOUS THROUGH TERRACE is located on CARBERRY TERRACE with VERY GOOD SIZED BEDROOMS, DINING KITCHEN AND A USEFUL BASEMENT FOR STORAGE and an IDEAL INVESTMENT FOR PARENT BUYERS.
The agent's photos would suggest that the property is in a decent state of repair and decor. One of the bedrooms is slightly smaller than the other three but there are methods of making a smaller bedroom more appealing to a prospective tenant so they are not left feeling they have come away with the rough end of the stick (Don't be afraid to ask in the comments box below for tips). We feel the figures stack up enough to make it more than work in our opinion.
Currently on the market at £145,000.00 and let until the end of June 2015 to a group of three tenants at a rent of £11,850.00 per annum. If fully let to a group of four tenants this property could easily achieve £14,500.00 per annum, giving a gross yield of 10%.
Although the property is currently in a decent lettable condition how do you think you may be able to add value to this property, if at all? Let us know in the comments box below.
A few points to note, according to the agent's particulars:
There could be a whole host of reasons as to why you want to buy, from it being the preferred option to a traditional pension, or maybe your savings interest rates are falling below your expectations. From the start you need to know exactly what you should be looking for, what cautions you will need to take as an investor, whilst looking at your investment as if it is you that is renting the property.
Redbrick Properties can benefit landlords through offering advice and guidance in areas such as:
Redbrick Properties was established back in 2002 and since then has gone from strength to strength building up a fine portfolio of residential properties along the way.
We could never be accused of being a faceless agency as both Mark and I still work front-line in the office along side our experienced and capable staff.