This is still available and I don't understand why?
It's been a busy week this week and I was just checking the Darwen property market activity on Rightmove and Zoopla to see if there was anything I had missed.
I came across a few surprises, but one that stands out in particular...
Reduced!
I wrote about one particular property about 3 weeks ago, tipping it as a good buy. It's up with our friends at the YourMove office across from us here in Darwen.
http://darwenproperty.blogspot.co.uk/2015/10/anchor-avenue-darwen-8-yield-and-safe.html
I'm surprised to see it's not flagged as sold. In fact it was subsequently reduced by £5k from £80k to £75k..
The crazy thing is it has a nice and bonny yield of 8.8% with potential to increase this further. It's a no-brainer!
Here' it is:
Have you all spent up?
I think you guys need to check this out, and if you have concerns as to why it hasn't sold give the agents a ring see what they say? Are there problems we can't see in the pictures etc?
Pretty much every property I write about gets snapped up, usually by Landlords and Investors i have spoken to.
Bottom Drawer Secret Property Deals...
If you spot any other properties you're interested in drop me a line or call in for a coffee (we only do nice coffee!) I can discuss some off market investment properties I've got in my bottom drawer.
These are properties that the owners (mostly retiring Landlords) are looking to sell discreetly, that won't go on the market. I have a steady supply of these and they're all producing nice yields.
You know where I am..
Paul Ainsworth-Lord
Darwen's Local Property Expert
Ainsworth Lord Estates
49 Market Street
Darwen
BB3 1PS
(There's plenty of parking)
Ring me on 01254 760660 or ping me an email to:
Paul@AinsworthLordEstates.com
Showing posts with label investment opportunity. Show all posts
Showing posts with label investment opportunity. Show all posts
Saturday, 7 November 2015
Saturday, 24 October 2015
£40k Bargain Investment Deal on Argyle Street in Darwen, up with YourMove - Estate and Letting Agents in Darwen, spotted by Paul Ainsworth Lord
Calling all Bargain Hunters!
33% Discount on Argyle Street in Darwen
Well, I was just checking looking to see what bargains I could find on Rightmove this morning and guess what I stumbled across? Don't know why I hadn't spotted this beauty sooner.
It's up for sale with our friends at the YourMove Letting and Estate Agents office here in Darwen, across the road from me.
Reduced from £60k to £40k
Then again it might have been the original price tag of £60k that put me off. But since it's now up for grabs at a whopping 33% discount - only £40k it's certainly on my radar now!
What's the catch?
Before you all start scrambling for your phones... what has gone wrong here? Should we not be smelling a rat, given the big discount?
I can only assume given the length of time it's been on the market (quite a while) and the number of price reductions there's clearly more to this than meets the eye, or is there?
Can't be much wrong with it?
Given I've been in the property business most of my life, and professionally for the last 15 years or so, even at £40k - there can't be that much wrong
with it, surely?
At worst.... if it needs a 'full job' on it to restore it to a good standard, I've never spent more than £30k on a major refurb on this type of property. So at worst, after works etc it's only going to stand the buyer at say... £65k - which means its still a cracking deal. The asking prices on this street tells me this is a bargain waiting to be snapped up!
Here it is:
http://www.zoopla.co.uk/for-sale/details/36504396?search_identifier=0b041af1fa1d072aa13f7ab2700178ba#GdBrGMTJFQsrq3pD.97
Numbers.... I like the numbers..
Well, lets suppose you bag it for £40k and spend £30k on the refurb. It's going to stand you at £70k.
Given we have budgeted a for a top end refurb here I think we should get £500pcm for it quite easily (probably more).
That means you'd be getting a nice healthy 8.6% Yield. And if we got £525pcm it wood be a nice juicy 9%.
And on top of this you have Capital appreciation - the cream!
If you see any other potential bargains and would like a second opinion, you know where I am, call in for a coffee and a chat.
Paul Ainsworth Lord
Darwen's Local Property Expert
Ainsworth Lord Estates
49 Market Street
Darwen
Lancs
BB3 1PS
Tel 01254 760660
or ping me an email:
Paul@AinsworthLordEstates.com
33% Discount on Argyle Street in Darwen
Well, I was just checking looking to see what bargains I could find on Rightmove this morning and guess what I stumbled across? Don't know why I hadn't spotted this beauty sooner.
It's up for sale with our friends at the YourMove Letting and Estate Agents office here in Darwen, across the road from me.
Reduced from £60k to £40k
Then again it might have been the original price tag of £60k that put me off. But since it's now up for grabs at a whopping 33% discount - only £40k it's certainly on my radar now!
What's the catch?
Before you all start scrambling for your phones... what has gone wrong here? Should we not be smelling a rat, given the big discount?
I can only assume given the length of time it's been on the market (quite a while) and the number of price reductions there's clearly more to this than meets the eye, or is there?Can't be much wrong with it?
Given I've been in the property business most of my life, and professionally for the last 15 years or so, even at £40k - there can't be that much wrong
with it, surely?
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| Can't be this bad? |
Here it is:
http://www.zoopla.co.uk/for-sale/details/36504396?search_identifier=0b041af1fa1d072aa13f7ab2700178ba#GdBrGMTJFQsrq3pD.97
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| Bargain on Argyle Street, Darwen |
Well, lets suppose you bag it for £40k and spend £30k on the refurb. It's going to stand you at £70k.
Given we have budgeted a for a top end refurb here I think we should get £500pcm for it quite easily (probably more).That means you'd be getting a nice healthy 8.6% Yield. And if we got £525pcm it wood be a nice juicy 9%.
And on top of this you have Capital appreciation - the cream!
If you see any other potential bargains and would like a second opinion, you know where I am, call in for a coffee and a chat.
Paul Ainsworth Lord
Darwen's Local Property Expert
Ainsworth Lord Estates
49 Market Street
Darwen
Lancs
BB3 1PS
Tel 01254 760660
or ping me an email:
Paul@AinsworthLordEstates.com
Sunday, 11 October 2015
Anchor Avenue, Darwen. 8% Yield and safe long term investment from YourMove in Darwen. Spotted by Paul Ainsworth Lord, Local Property Expert, Sales and letting agents in Darwen
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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
Monday, 28 September 2015
Buy to Let investment on Percival Street Darwen 8%+ Yield Full Refurbed, offered by one of the Estate and Letting Agents in Darwen, highlighted by Paul Ainsworth Lord
This looks interesting, neatly refurbed garden fronted terraced property in a pretty decent spot on Percival Street in Darwen.It's up with two agents at the moment, one of which is our friends down at Proctors.
It's been up for a while, listed initially in July with one of those online agents, at £75k. Needless to say...... they didn't cut it and had to recruit a local agent (we see it all the time).
FULLY REFURBED - READY TO RENT
Anyway, Ive been in this one, I had a nosy whilst the contractors were in there doing the refurb. Which seems to be a nice neat job too.
Here's the link to it..
Percival St. Darwen - 3 Bed Terraced REDUCED in PRICE
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| REFURBISHED 3 Bed Terraced |
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| New Kitchen etc |
THREE BED TERRACED - IN SHORT SUPPLY
It's a pleasant 3 bed, garden fronted terraced property and finished pretty well. Its in a good spot.
If we were going to offer this for rent I'd be happy if I got £495 for this 3 bedder, and still... 3 bedders are in short supply... everyone's after them!
Having been reduced by a nice fat 5k bringing it down to a tender £69,950 I think it's a decent buy.
So let's look at the numbers....
PP - £70k
Rent- £495pcm x 12 = £5940
Gives a healthy gross yield of 8.5%
Pretty Good eh?
Other things to consider.... how will it appreciate in value going forward? And what are the pitfalls to this street?
Happy to have a chat with you and offer a second opinion should you be thinking of purchasing this one...
You should know where I am by now....
Paul Ainsworth Lord
Local Property Expert
There's plenty of parking near our office
Ainsworth Lord Estates
49 Market Street (In Town Centre)
Darwen
BB3 1PS
Call me on 01254 760660
or ping me an email...
Paul@AinsworthLordEstates.com
I'm always happy to break off things to have a brew and a good chat about the Darwen Rental market.
Need to remind me to shut up when you've had enough though... I can talk about it for ages.....
I'll supply the coffee (we only do nice coffee) and you bring the biscuits. Deal?
Friday, 7 August 2015
Double Wammy Tip Off - Shop with Flat above coming to market soon. (I believe it's being sold for the bank). Chances are it will be a bargain, with 15%+ Yield potentially. from Paul Ainsworth Lord, Darwen's Local Property Expert
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| Get in there first. |
I've just heard about a property that's being sold for one of the banks and will be coming to the market very soon, and it's a cracker! (in more ways than one)
Double Wammy - New official straight talking term!
A 'Double Wammy' property (in my speak) is a property that offers a potential 'Double Wammy Return'. Put simply it means there's an opportunity to get (at least) two lots of rents from the one unit.
Given that this little baby is a shop with a flat above means you can rent the shop out to one tenant and the flat to someone else. Of course, there's nothing stopping you renting both parts to the same tenant. Either way, you'll get more rent by renting them separately than as one unit.
Super Yields & More Equity- we all want some of this.
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| It's all about the money! |
But not only that, it also reduces your income risk (and cash flow) as an investor. Which put simply means if one of the units is empty at least you'll have the rent from the other one.
And there is a second 'Double Wammy' with these properties too... once you have done the refurb work, the banks will value them much higher than you expect, especially if you have good tenants lined up or in place. Trust me the valuations will surprise you. The double wammy here being the equity you can create.
Silly Asking Price?
You'd think that properties like this would sell for silly money - a high price that is? Well, the reality is that they don't tend to fetch good money (usually).
The reason being.... most people are put off by ignorance and fear of moving out of their comfort zone, the need to find bigger deposits if borrowing money to make the purchase, and they do often cost a few quid more to refurbish.
But don't let any of this put you off. It's not a scary as it seems, in fact it's dead easy and if you have someone (like myself) that's handled plenty of these kind of jobs it's easier than ever.
So where is it?I could hear you asking this....
Well, all I can tell you just now is that it's in Darwen (south side) and in a good renting area and the shop has been a shop as long as I can remember.
How much will it be?
Well an obvious question and quite right too.
I don't know how much it will be at the moment, but my sources tell me it will be 'right money'.
Remember, this property is not on the market yet.
You can be the first to view it.
Interested? (You should be)
Best thing to do now would be drop me an email to paul@ainsworthlordestates.com stating your interest. Don't forget to give me your phone number etc so I can call you once I have a bit more info and can get you one of the first viewings.
However, if you want to have a chat about this and other deals I hear of before they come to the market (and some don't always come to the market) why not call in for a chat and a coffee so we can discuss what you're looking for?
Or you can ping me an email or give me a ring....
You know where I am...
Ainsworth Lord Estates
49 Market Street
Darwen BB3 1PS
(My office is opposite Boots Chemist in the town centre, there's plenty of easy parking)
my email address is:
paul@ainsworthlordestates.com
Tel: 01254 760660
Make sure you register for my regular emails with details of deals in and around the Darwen Area, and updates (top right hand corner of page).
Saturday, 20 June 2015
Buy To Let Opportunity on Pine Street Darwen, with an Estate Agents in Darwen. Offering a nice 10% Yield
So you're a wannabe Landlord? Well, when opportunity knocks you just have to seize it, and guess what, it's knocking now!
I speak to so many people each week who are just itching to get onto the property market and become a 'Landlord'.
Some of them I go through the same script time and time again... and even show them some nice little entry-level deals to buy, but for some strange reason they just don't take the plunge.
Well if you're one of those I've been saying to that the time is now and I'll let you know when something comes up that is 'low risk' (just to ease you in), then take notice here....
There is a nice potential renter for sale here with our friends down at Proctors, one of the other Estate and Letting Agents in Darwen... take a look:
Now Pine Street isn't everyone's cup of tea, but it's in an OK area and the street's ok too.
We have properties on here that we get rents of between £350 and £395 per month.
Depending how they're finished determines what rent we get.
Now if you've checked out the link to it on Zoopla you'll see there is only one picture on it. Which tells me what's in side probably wouldn't photograph up too well. So be prepared to have to spend a few quid.
Now if you're a tradesman or have mates or friends that can help you out to bring it up to standard (and keep your costs down) then this would be a nice starter property for any wannabe landlord. If not, then you need to keep your costs under control (very important).
The NUMBERS....
Assuming you buy this one for £35k.
And based on a rental of say... £375 we could get you a 10% yield if you kept your refurb spend down to £10k.
Of course, if you end up spending say £15k on the refub I'd expect we should get a better rent (£395) - providing you let me guide you on what needs to be done to help achieve this.
A rental income of £395 on a property that stands you at £50k would still give you a healthy gross yield of 9.5% still not bad eh?
But to come out at 10% you need to keep your refurb costs at no more than £12,400.
Now this in itself can be a tricky business, especially of you don't have any contractors to hand. If this is the case then speak to me as I have a whole list of local guys we use for refurbs - who are 'trained' on price and know the standard needed for the job in hand.
But we're assuming a lot here, once you've viewed it you ought to be able to gauge what work needs doing.... but who knows, maybe it just needs a 'light refurb' or a good lick of paint?
So.... have you booked your viewing yet? lol
Don't be a talker who is forever procrastinating, just get on and do it. At this kind of money you can't really go wrong.
Want to chat some more? Give me a ring or ping me an email...
01254 760660
Paul@AinsworthLordEstates.com
or bob in for a coffee.. you know where I am..
49 Market Street, Darwen BB3 1PS
There's plenty of parking near the office.
(Ainsworth Lord Estates)
I speak to so many people each week who are just itching to get onto the property market and become a 'Landlord'.
Some of them I go through the same script time and time again... and even show them some nice little entry-level deals to buy, but for some strange reason they just don't take the plunge.
Well if you're one of those I've been saying to that the time is now and I'll let you know when something comes up that is 'low risk' (just to ease you in), then take notice here....
There is a nice potential renter for sale here with our friends down at Proctors, one of the other Estate and Letting Agents in Darwen... take a look:
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| Mid-Terraced Renter on Pine St in Darwen |
Now Pine Street isn't everyone's cup of tea, but it's in an OK area and the street's ok too.
We have properties on here that we get rents of between £350 and £395 per month.
Depending how they're finished determines what rent we get.
Now if you've checked out the link to it on Zoopla you'll see there is only one picture on it. Which tells me what's in side probably wouldn't photograph up too well. So be prepared to have to spend a few quid.
Now if you're a tradesman or have mates or friends that can help you out to bring it up to standard (and keep your costs down) then this would be a nice starter property for any wannabe landlord. If not, then you need to keep your costs under control (very important).
The NUMBERS....
Assuming you buy this one for £35k.And based on a rental of say... £375 we could get you a 10% yield if you kept your refurb spend down to £10k.
Of course, if you end up spending say £15k on the refub I'd expect we should get a better rent (£395) - providing you let me guide you on what needs to be done to help achieve this.
A rental income of £395 on a property that stands you at £50k would still give you a healthy gross yield of 9.5% still not bad eh?
But to come out at 10% you need to keep your refurb costs at no more than £12,400.
Now this in itself can be a tricky business, especially of you don't have any contractors to hand. If this is the case then speak to me as I have a whole list of local guys we use for refurbs - who are 'trained' on price and know the standard needed for the job in hand.
But we're assuming a lot here, once you've viewed it you ought to be able to gauge what work needs doing.... but who knows, maybe it just needs a 'light refurb' or a good lick of paint?
So.... have you booked your viewing yet? lol
Don't be a talker who is forever procrastinating, just get on and do it. At this kind of money you can't really go wrong.
My opinion on this one is:
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| Just Do it! |
Want to chat some more? Give me a ring or ping me an email...
01254 760660
Paul@AinsworthLordEstates.com
or bob in for a coffee.. you know where I am..
49 Market Street, Darwen BB3 1PS
There's plenty of parking near the office.
(Ainsworth Lord Estates)
Sunday, 14 June 2015
9% Yield up Sunnyhurst, Darwen. Cracking Investment Opportunity for wannabe Landlords offered for sale by Ainsworth Lord Estate Agents in Darwen
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| 9-10% Yield rising to around 15% |
Here's the one to consider....
Sunnyhurst - Yield: 9%+
It's not very often I come across many properties in the Sunnyhurst Area of Darwen that can deliver these kind of yields.
This in my book is a true diamond deal! And I bet hardly anyone has spotted the real opportunity here!
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| Harwood Street, Darwen Investors Dream Property |
But take a look at this little baby and see if you can spot the opportunity here. I best most folks won't be able to spot it, which is more the reason to go check it out.
Now I like these kind of properties. Different, got an angle in it, high yield, great capital growth opportunity, high demand, great area, no brainer! (All good words in my book).
The 9%-10% bit is just for starters! The potential yield on this after a few tweaks we could get this into double digit returns no problem! (and some additional equity too).
For sale at £95k (Cheap really)
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| I'd get you £550-£600pcm for this. |
Our Debs has it up for sale at £94,950 and I know she is keen to get some offers in on this one.
So if you're looking for another buy to let investment property in Darwen, I strongly suggest you book in a viewing with Ainsworth Lord Estates on 01254 760660. and once you've viewed it you should make an offer asap before it gets snapped up.
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| Basement Flat - £425pcm |
Well, basically, you're getting 2 for the price of 1.
The house itself with a few tweaks would rent easily.
I reckon finished nicely (I have some very clear suggestions that would to be followed) I could get you £550-£600 on it. So working on the lower number of £550, that's £6,600pa
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| It's a buy! |
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| Separate Access to Basement Flat |
Then we have the uplift in value post tweaks. Can you see why it's a no-brainer?
I have some more diamonds I've spotted up with some of the other estate agents in Darwen which I'll be sharing with you soon.
So if you haven't already registered to receive my email alerts can I suggest you do so now.
In the meantime, If you see anything of interest ping me an email to Paul@AinsworthLordEstates.com
or call in for a coffee and a chat, you know where I am:
Paul Ainsworth Lord
Ainsworth Lord Estates
49 Duckworth St
Darwen
BB3 1PS
Tel 01254 760660
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| I love cream cake too! |
Monday, 8 June 2015
Investment Property on Preston Street Back on the Market - Potential 10% Yield at offers over £45k
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| 10% Yield Easy... |
Offers Over £45k - I don't think so.....
Just noticed another potential 10% Yielding property come back to the market on Preston St. I'd noticed it had sold, but for some reason the sale seems to have fallen through and it's back on the market with our friends at the YourMove Darwen office, across from us here in the town centre.
Here it is:
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| Potential Nice Deal on Preston St |
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| Needs a few quid spending on it |
Demand or rental properties on Preston St is always pretty steady, so I'm always interested in properties that come up for sale on here and especially the neighbouring streets.
On these streets we can get rents from £395 - £475 (and as high as £500 sometimes) quite easily, depending on condition, finish and features available.
This one looks as though it needs some TLC... I'd think about 5-10 k should be enough.
Given the sale has fallen through on this, I see an opportunity for a cheeky bid and generally speaking cheeky bids work well in these sort of situations.
My advice is go on ..... make a cheeky bid at £40k and take it from there. If you want
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| Go on, be Cheeky! |
Or why not call in to my office and we can discuss it in person... I'm always happy to discuss these techniques and offer some advice on the works and jobs to do to help secure the optimum rental return. (so you don't make those little mistakes that can cost you lower rents and longer void periods. There is a bit of a science to this...
You know where I am...
There are four Estate Agents in Darwen.... my office is at
Ainsworth Lord Estates
49 Market Street
Darwen
BB3 1PS
Tel 01254 760660
in case you just want to email me here's my email address:
paul@ainsworthlordestates.com
Monday, 25 May 2015
Commercial Investment Opportunity in Darwen up for grabs with Proctors, Estate Agents in Darwen
Investment Commercial Property Darwen- It's got potential....
I don't often highlight commercial properties. But this bobbed up on my radar and I think it's worth a punt.
On the market with one of the Estate Agents in Darwen at a sensible £35k, this mid-terraced commercial property seems right money to me.
There is a catch though... I believe it need a good spend on it, as it needs a full refurb. Now sometimes with commercial properties this can be expensive.
Given it's been advertised at an attractive price (some agents do this to get lots of interest) I dare say there will be some serious interest in it and you could end up paying too much for it, so be careful.
Lets's say you paid £45k for it and it needs £20k spending on it.
This means it will stand you at £65. This in turn means we'd need to get a decent rent on it to make it a worthwhile investment. An ideal addition to a portfolio to add some diversity.
Still worth checking out though.
Here it is:
Commercial Property for Sale on Duckworth St. Darwen
If you see anything interesting, let me know and I'll let you have my thoughts...
I'm always happy to offer a second opinion.
Paul@AinsworthLordEstates.com
Tel: 01254 760660
I don't often highlight commercial properties. But this bobbed up on my radar and I think it's worth a punt.
On the market with one of the Estate Agents in Darwen at a sensible £35k, this mid-terraced commercial property seems right money to me.
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| Needs a fair bit of work |
Given it's been advertised at an attractive price (some agents do this to get lots of interest) I dare say there will be some serious interest in it and you could end up paying too much for it, so be careful.
Lets's say you paid £45k for it and it needs £20k spending on it.
This means it will stand you at £65. This in turn means we'd need to get a decent rent on it to make it a worthwhile investment. An ideal addition to a portfolio to add some diversity.
Still worth checking out though.
Here it is:
Commercial Property for Sale on Duckworth St. Darwen
If you see anything interesting, let me know and I'll let you have my thoughts...
I'm always happy to offer a second opinion.
Paul@AinsworthLordEstates.com
Tel: 01254 760660
Wednesday, 20 May 2015
7.5% Return on your money with Natwest Bank, only at the Darwen Branch. Discovered by Paul Ainsworth Lord, Estate Lettings Agents in Darwen
Get 7.5% return on your money from the Darwen Natwest Branch. (or £500 per week)
Well, fellow
Landlord Investors, we are always comparing the returns we get from
property against what we can get for it in the bank.
Well this last
week I saw the for sale sign go up at our local branch of the Natwest in Darwen, and me being me, wanted to know how much it was up for. I
though it mght be an ideal purchase for one of my other Landlords given
we have all the flats above, so to have the ground floor as well would
work nicely.
| 7.5% on with Natwest Bank, only in Darwen |
Cheaper than I thought.......
Well, to my surprise, to buy the bank wasn't as much as I had expected.If you check out the auctioneers website and look at lot 60 you will see the guide price is a tidy £350k.
But is it as good as it seems, I hear you ask yourself?
Is it really as good as it sounds?
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| £500 Sterling |
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| £500 per week, really? |
What other factors are there to consider then?
I know for sure that with this building there are service charges for the building, and whilst these are not unreasonable they have to be factored in.
Secondly, the insurance for the building has to be paid by the tenants, and when we got the insurance renewal earlier this year it was (in our opinion) grossly over inflated - in fact insured for more than double it's worth. Needless to say we have appealed this.
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| Don't forget Management Costs |
How long is the lease for with Natwest, how are the rent reviews structured, and are there any break-clauses? Who pays for maintenance? etc...
The thing is a lot of these costs are out of the owners control to some degree and challenging any of them is a mighty feat.
So, whilst it looks pretty good at 7.5% should we all be running to the bank to buy it? After management company costs etc (details of which should be in the legal pack - available from the auctioneers), who knows?
The other thing to consider, which you should always have in mind before you buy any property, is the exit? Who would you rent it to next?I'd say it would make a superb Starbucks!
If you'd like to chat some more about this potentially lucrative investment, why not give me a ring on 01254 760660
or ping me an email to; Paul@AinsworthLordEstates.com
or drop in for a coffee...
Ainsworth Lord Estates
49 Market St.
Darwen,
Lancs BB3 1PS
Monday, 18 May 2015
Block of Apartments with 10.5% Yield, Rising to 15% on Blackburn Road in Darwen
Block of 4 Flats on Blackburn Road in Darwen - pulling in a very healthy 10.5% Yield, Rising to a mighty 15% after a few quid spend.
£200k down and get £21k a Year Return
(for starters)
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| It's all about the yield |
I don't know why this is as there doesn't seem to be a patten to it. I then find myself reminding investors that it's all about the returns on your investment ie the yields.
Mind shifting...
So keeping things simple, when we look at the annual income you would get on a deal like this it is surely a mind shifting thing?
It's on the market for £195,000 with us at Ainsworth Lord Estate Agents in Darwen, see what you think. Click here to view property details
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| Block of 4 Flats, Blackburn Rd Darwen. |
Look at in very simpler terms....
Put £200k in the bank and you might get £4,000 if you're luck to get a 2% return. If you spend the £4k then all you have left is your £200k. (Which because you've spent the interest it now won't buy you what it would have done when you first put it in the bank.)
Darwen Property Prices are on the up...
With property it's different and especially now given we are seeing strong demand and healthy property price rises here in Darwen.Property is a Double Wammy?
So.. you put your £200k into a property like this and it pulls in £21k a year (10.5%) in rent.
Firstly that's a good income agreed? Now if you spend it all that's fine. Now if you were to sell the property say a few years later I bet my bottom dollar you would get a good bit more than £200k for it. It becomes a double wammy, don't you think.
Ok, don't forget you have to remember there will be some maintenance, a few void periods in-between tenants etc., and letting agents fees. But still it makes a great deal.
Food for thought?
Hopefully, my few words will get you thinking. There are loads of other types of properties that are superb investments and no doubt I'll touch upon these in time to come.But if before then, you ever you see anything you think might be worth investing in and are unsure just give me a call. I am more than happy to give you my take on it.
Diamonds are everywhere, even in the most unexpected places....
I'm involved with all types of properties and some are amazingly profitable like you wouldn't believe, so much so you couldn't imagine it to be true. Only the other day I was doing the numbers on a deal with a 40% Yield! Yes these types of property investments are out there... right under your very nose, often in the most unexpected of places.And that's why I say... Darwen is my very own place with Acres of Hidden Diamonds and some of the precious finds are worth more than any diamond I've seen.
Yo know where I am...
49 Market Street
Darwen
here's my number:
01254 760660
Paul@AinsworthLordEstates.com
Call in if you're passing.
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