Do all Falkirk properties make good buy to let investments?

Put simply, the answer is no!

Today’s Falkirk Property Blog is a wee bit different as it is focusing on a delightful property that will make somebody a lovely home but will not be a good buy to let investment.  This is with a view to highlighting some of the key things needed for a good buy to let investment.

The property is a 2 bedroom, lower villa in Gartcows Drive.  Gartcows Drive is a sought after residential area in Falkirk that is just behind the hospital.  The generously proportioned accommodation includes a lounge, a separate dining room, two double bedrooms and a bathroom with a shower over the bath.  There is gas central heating, double glazing, a driveway providing off street parking and a private garden.

The property is on the market with Clyde Properties for offers over £149,000.

With my ‘places I would like my getting older Mother to live in’ hat on I would take the house .... in fact I may even arrange a viewing for her .... but, for exactly the same reaons, with my ‘buy to let investors’ hat on, I would not touch this property with a barge pole. Some of the main reasons are:

1) It is a well delightful area of Falkirk and the price reflect this.

2) All the rooms are on one level which is attractive for wealthy older people looking to down size from a large property that is on more than one floor and the price reflects this.

3) It is a lower villa which may put off families who can get a whole house for less money.

4) It is not a ‘hip and happening’ part of Falkirk for young professionals which will reduce the number of people interested in the property.

5) It is an ‘established’ area of Falkirk meaning that the neighbours may be less tolerant of tenants particularly ones that are ‘not perfect’.

This all means that the price to buy is higher but the rent is not that great comparatively.  As I said, Clyde Properties are selling it for offers over £149,000 – given the area it is in, let’s say it goes for £160-165,000.  Rent levels for 2 bedroom properties in Falkirk range from £350-600 pcm so even assuming £600 pcm gets you to a yield of only around 4.5%.

This is a property that is best to be bought to live in than bought to rent out.  So, I would love my Mother to live in this property but I would not have it as a buy to let investment.

We hope you find our posts useful.  If you want some honest, straight forward, buy to let advice or anything else property related, come and see me in my office (6 Vicar Street, Falkirk), call us on 01324 649840 or email either of me (falkirk@thekeyplace.co.uk).