Some landlords are insatiable! One of our landlords, who had only just
completed the purchase of a buy to let house in Falkirk a couple of weeks ago,
came into our office at 29 Upper New Market Street yesterday asking about my
thoughts on this flat that he was looking at.
The property is a 2 bedroom flat at 20 Middlemass Court
in Falkirk. 20 Middlemass Court is a
modern block of flats in a quiet cul de sac off Grahams Road just down from the
Tesco retail park so it is within walking distance of the town centre and the
railway station, perfect for the commuting tenant.
This apartment has a good sized lounge, a fitted kitchen,
two decent sized bedrooms and a bathroom with a bath and shower over it. There is double glazing but only electric
heating. There is residents’ parking and
the Helix Park is only a short distance away.
Let’s do the maths.
The asking price for this property, which is on the market with Nest Estate
Agents, is offers over £59,995. The
adverts show the property being empty and the advert says that it is ‘Priced to
Sell’ which means that there may be negotiation on the price but let’s say it
goes for £65,000 to be prudent.
Based on our recent experience of renting this type of
properties in this area, you should easily get a rent of £425 pcm on this
property and £450 may even be achievable.
Based on a price of £65,000 and a rent of £425 pcm gets
you to a yield of 7.8%.
Our landlord got quite excited about the opportunity
particularly the scope for price negotiation so was off to have a look at the
flat.
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