6.3% Yield in Chelmer Village!

Happy Monday! What a way to start the week, with this little Gem.

http://www.rightmove.co.uk/property-for-sale/property-29109474.html?premiumA=true

A great little 1 bed house having been modernized. 

The price is pretty tasty at £132,500, but the yield potential is what this is all about. We have rented a similar one in the same road for £695 pcm. Best case scenario, this would generate you a gross yield of 6.3%. You don't very often get the chance to get yields in excess of 6% so when you see one, best jump on it.

If you would like any more advice on where to invest in property, drop me a line at stephen.frost@martinco.com

2 Bed Investment Property In Great Baddow

Good morning, I hope everyone had a great weekend?

We are at the start of another week and I am up to my old tricks and surfing Rightmove daily to see what great buys are out there. This morning I spotted this one, on the market with Beresfords for £160,000.

http://www.rightmove.co.uk/property-for-sale/property-31285665.html?premiumA=true

There are a few apartments that have come to the market on this development over the last few months, I don't think there is anything onerous about it, I believe it is just a sign of the market, where prices have been steadily climbing thereby allowing people to move onwards and upwards, that may have not been able to previously. 

As there are a few properties available to buy in this area, it means that prices are becoming quite competitive now, I think that £160k is quite a good price for this one as it also looks like it is in pretty good condition too. 

From a rental perspective, I would expect to achieve in the region of £750 pcm for this type of apartment, which based on the current asking price would produce you a very healthy gross yield of 5.6%. As this is a leasehold apartment, you will need to also take into account service charges & ground rent hen doing your sums to ensure that this property will work for you.

If you have any questions at all about Buying a property to let, please do not hesitate to get in touch. stephen.frost@martinco.com

Melbourne or Chelmer Village, Which makes the best Investment

A landlord came to our office for advice a few weeks ago, asking whether he should buy a two bedroom house in the Melbourne or Chelmer Village area of Chelmsford.

We did some research and found that a nice two bedroom end of terrace house on Kings Road, a road leading to North Avenue in the Melbourne, for £185,000. We worked out the possible rent for this as £725 per month, which could achieve an annual yield of 4.7%. The properties in this area are quite popular with families and tend to have a great demand with investors and tenants alike, making it a relatively good investment.

A similar two bedroom terrace house on Jenner Mead , Off Henniker Gate in the Chelmer Village area, approximately four miles away across the City, has a value of £220,000. The possible rent for this property is slightly higher, at £850 per month, as it is slightly larger than the one on Kings Road. We found that although the rent can be higher, the annual yield was similar at 4.6%.

This shows that while a property can achieve a higher rents, it does not necessarily mean higher returns.

If you would like any advice when choosing properties, you may come and see us at our office on Duke Street.

Studio Buy to Let option Close To Chelmsford Station

http://www.rightmove.co.uk/property-for-sale/property-47954480.html

On today's Rightmove travels, I came across this property.  It is a studio apartment, so the living and sleeping room is all one space. One thing you find with studios are that the returns are usually pretty good, at the higher end of the spectrum for this area. This is because generally, they are quite a bit cheaper to buy and the rents, although at the cheaper end of the scale are comparatively quite good.

This one is a pretty good example, on the market for £112,500. The details that the agent has on the website eludes to the fact that it may be sold with a tenant in place if an investor buys it, however this isn't clear, so you may need to check this with the agents. There is no mention of what rent has been achieved, but I would expect to achieve in the region of £500 pcm. 

Based on these figures you are looking at a gross yield of 5.3%. If you can also purchase it at a slightly lower price, this would make the return even better. 

For more advise on this example or any others that I have posted to this blog, please drop me a line, I am happy to help where I can. stephen.frost@martinco.com

Modern 2 bed, 2 Bath apartment with 5.6% return in Chelmsford

I don't normally put our own properties on here as I don't want it to look as though we are using this blog as a selling platform. But every once in a while we take on a really good property that is begging to be bought for investment!

This apartment is well maintained by the current owner, it's a ground floor property, benefiting from an en-suite & parking as well. Just look at the details on the link below for full details

http://www.rightmove.co.uk/property-for-sale/property-46076629.html

It's on the market for offers in excess if £158,000, so let's say for arguments sake the vendor accepted £160k, you could easily rent this out for £750 pcm. You would therefore be looking at a very respectable 5.6% return on your investment. This is of course without taking into account service charges or ground rent, so please bear that in mind. 

This property is also being sold with no Onward Chain, so you could complete on this one quite quickly and turn it around for letting asap. 

If you have any questions about this property, or any others, just drop me an e-mail. Stephen.frost@martinco.com