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| Cracking Yileds |
We speak regularly, and the things properties he likes are houses in 'really good areas' and he wants them cheap. A pretty tall order!
Ive mentioned to him before that in this job the focus needs to be purely on the numbers... ie yield and capital growth. But some folks get stuck in their own mindset, and that's fine if it works.
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| It's all bout the numbers |
But the frustrating down side to this mindset is losing out on so many other opportunities, which is so unnecessary.
Council Houses make Great Investments
I'm a great supporter of buying former council houses, for many reasons.
They're cracking family homes, built well, built for families, are usually nice and spacious, and invariable come with good sized gardens. They tick all the boxes (on paper) that families are looking for, and when we have them come up for rent there's always a scramble for viewings! Great!
It's a Pseudo Stigma
The only down side to these houses though is the stigma of them being on a (former) council estate. The tenants are happy to put this aside if it means they can get a great house that ticks their boxes at a suitable rent.
This is where investors really need to tune in. Rental demand is really strong for these properties which is why I always promote buying them up, providing the price is ok that is.
So when this one bobbed up on my alerts at £80k it got my attention.
Click link Here:
Ex-Council House on Anchor Avenue in Darwen
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| Ex-Council Houses are Great Rental Investments |
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| Lipstick and Makeup Required |
£80k for Anchor Avenue? It's sensible. Having had a quick look through the pictures. it's fair to say it needs a bit of TLC in places, but on the face of it I can't see anything major. Nothing a bit of lipstick and make up won't sort out.
Now we all know, us investor types are a cheecky bunch - and there's nowt wrong with a bit of cheek! so let's assume we managed to get it for £75k which is a sensible offer so we we'd tell the agents, (despite knowing the price on this one is pretty bang on.. hee hee) we'd have bagged a bargain!
Let's do the sums...
PP £75k
Rental income: £550pcm = £6,600pa
that equates to an 8.8% gross yield.
But lets say the agents and vendor play hard ball and you have to pay £80k, would you be happy with an 8.3% yield? Course you would!
Bear in mind, Ive not taken account of any decorating costs and bit of jobs etc that you might need to do with these figures, but even so, but you see the point I'm making?
And the Brucey Bonus is that the capital value on these houses appreciates nicely.
Suffice to say... Ex-Council houses are a great rental investment on our patch.
My opinion on this one...
BUY BUY BUY.If you see any other council houses (or anything for that matter) and want to run it past me then give me a bell or call in for a coffee (we only do nice coffee).
If I'm not available, leave your details and I'll get back to you.
You now where I am..
Paul Ainsworth Lord
Ainsworth Lord Estates
49 Market Street (opposite Boots the Chemist)
Darwen
BB3 1PS
Tel 01254 760660
or ping me an email...
Paul@AinsworthLordEstates.com
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