2 Bed Flat in Town centre offers Good Yield

Here's a good property that's just come onto the market. It is marketed as an ideal investment and I would say the selling agent is right.



Below is the link to right move:

http://tinyurl.com/dypvq43

York Rd is prime "renting" location in Guildford as it is next to the London Rd station and only a few minutes walk to the main Guildford station and the Town centre. Now, I don't normally recommend 2 bed flats as they are slightly harder to let than the 1 beds or 2-3 bed houses with more space and garden etc.
However, this has come to market at a good price of £185k and should comfortably achieve £1000pcm, so around 6.5% Yield. We have just let a 1 bed on the road for £800 which is probably not presented as well as this 2 bed seems to be.

Due Diligence on this one would be:

• Leasehold - what is the length left and the ground rent / maintenance charges and who manages the block. Sometime these flats in York Rd have poorly maintained communal areas which will deter the higher quality tenants.
• Get the electrics and boiler checked out!
• Meet the neighbours - are they renting or do they own their flats.
• There is no EPC attached to the details at the moment, again it might not be double glazed.
• Consider the fact there is only a shower - this will affect re-sale value and prevent families with kids renting it. So be prepared for professional sharers - possible even a couple witha friend - then it becomes an HMO. Your tenants are unlikely to stay above the average 19months of a tenancy here, but voids are unlikely due to location.

If you want any other advice please call me on 01483 537200, we continue to offer free Buy to Let advice for potential investors in the Guildford area. We are not Estate Agents, we only do lettings so we can give impartial honest advice.

2 Bedroom flat with 6.5% yield

This recently modernised flat has just come on the sales market. I assume it has been done up by a developer as there is another flat similar, also new to the market, on for £165k. The marketing details don't currently show a floor plan so hard to gauge exactly but it states 2 double bedrooms. So I would assume a rent of £850pcm with no work to do to get it ready for lettings. In fact there is a tenant already in there, so best check the details of the current tenancy. Not sure why the current rent isn't shown???
 However, when properties have been done up, sometimes it can be done on the cheap so make sure you get a trusted plumber and electrician to service the boiler and check the electrics. Electrical Inspections cost as little as £110+VAT and a plumber call out should be circa £65. Bearing in mind what one pays for a survey it is money  very well spent.
Obviously the location isn't perfect as it is a bit further from the centre and there is no mention if it is freehold or leasehold. Grrr!
However, it looks a pretty straight forward no hassle investment.

Right move link below - pictures and details courtesy of Karltons.

http://tinyurl.com/asmsslz

Excellent investment property.
This is the type of property that landlords in Guildford should be drooling over if they are looking to let to students. It is well located to the University (10-15min walk if you cut across the A3 at the fish and chip shop on Southway) and has the ideal layout to convert to a 4 Bed student house if you put a wall between the dining and living room. It is on the market at £250K , the sales particulars state it needs updating. Although hard to tell from the photos I suspect the kitchen will be OK for students and the main job will be new carpets (or laminate flooring) and repainting - probably c£2k. However, check closely when viewing.
Furnish it with a sofa, armchair, coffee table, whitegoods, beds, drawers, wardrobe (if not built in) and maybe desks and you are ready to go.
I urge due diligence on getting the boiler and electrics checked out and then allow for correct smoke alarms / heat sensor for an HMO - but it looks a great opportunity. Should let for £1600-£1650. £1650 vs a sale price of £250k is as good as 8% yield! Obviously you will try to get it for less than the £250k especially if the kitchen needs work, so your yield could be even higher.
You just need to get the timing right as the student market is seasonal but once set up on that regular annual cycle this would let quite easily.
For any advice regarding buying to let in Guildford or general lettings help, please feel free to call me on 01483 537200.






Right Move link:
http://tinyurl.com/ac6ret9



Please note the photos and floor plan and sales marketing details are via Mann Countrywide

Something to whet the appetite

So, with January as good as over, we have been asked a few times by landlords "How's the letting market started this year?". To which I would have to give a general positive response to. We saw huge demand from tenants straight after new year but this has tailored off a bit towards the end of January. We secured 14 lets this month but have found a couple of properties one would normally expect to go quite quickly stick a bit - often for no particular reason, or perhaps because the decor wasn't quite as good as other properties also on the market at that time. I feel this further underlines the importance of presenting a modern feel throughout, especially in the bathroom and kitchens plus the flooring.
February is looking likely to be a busy month with numerous move ins planed but most of all the "high yielding" student market kicks into full swing. If you have a student property in Guildford do not let you agent advertise it in June, it must be on NOW in order to secure tenancy at the best possible price for you. Speak to us for free advice if you wish!.

Anyway, I wanted to show a couple of potential investment properties that have come onto the market in the last 7 days within the Guildford area. They represent 2 ends of the spectrum.
The first is a 3 bed maisonette in Park Barn. OH NO! I hear you shout! Well, the truth is that this is not for the faint hearted. It is available for £180k and currently has been letting out for £1200pcm. That's a whopping 8.2% yield if purchased for £175k BUT - it is in a poor state of repair and should be freshed up if you want to attract half decent tenants. You will only get £1200 by letting it to students furnished and it will need a lick of paint, perhaps new carpets and even a new bathroom. The truth is, this is never going to be easy to sell on and won't out perform for capital growth due to the area / block of flats it is in, plus you will always be working hard at your tenancy due to the type of tenants. But hey - 8% if you have the stomach and are looking for the monthly yield. However - if you don't set it secured to students you could be facing voids or much lower rent.

The link to rightmove is below
http://tinyurl.com/acblecr



Perhaps for those that want an easier life is the property below. Priced at £242k this 3 bed house would attract a professional couple / family and although not as close to the town centre as you would like (1.5miles to the station) , it ticks a number of boxes to make it an interesting option. Obviously it is under the 250k threshold, it has a secure garden, garage, GCH and double glazed already, and is in Stoughton.
It looks like the flooring needs replacing - I would carpet the upstairs (£4-500max) and then put wood effect laminate downstairs. The bigger job is the kitchen (bathroom seems Ok), which would need modernising (5k?).
I would most definitely want a long tenancy and want to attract tenants that want to stay long - so I would ACCEPT PETS (hence the wood floor). Families with pets treat it as their home and due to other landlords not accepting them they stay longer, get it let, sit back and enjoy an easy tenancy at £1200pcm.
Buy at £235 to reflect the work required. So  nearly 6% if you spent £242k in total.



Link to rightmove:
http://tinyurl.com/ad8xnyk

All photos courtesy of Selling Agents Callards and Gascoigne Pees

High Quality Property Management from your letting agent

As we reach the end of the peak for the summer / autumn move in season, I thought I would write about some of the experiences we have had as an agent over this busy period.
In the last 3 weeks we have overseen nearly 20 move ins, with so many move ins there are bound to be small issues as the new tenants become familiar with their property.
As an agent that strives to add value to clients, both tenants and landlords, we have offered extra support even to properties that we don't manage.
I haven't calculated the total amount of money I think we have saved landlords but I thought I would highlight some of what we have done to give any prospective landlords or tenants an idea of how a letting agent that offers a high quality service can make everyone's life smoother and how a really good one won't waste your money.

Issue 1 - The dishwasher doesn't work! Although not managing the property, as the landlord was on holiday and we had let the proeprty we felt an obligation to investigate. We went to the property that day and found the tenant had not turned the isolator switch on. Plumber call out saved?

Issue 2 - There is no hot water! Again, we visited the property that day and found that the tenant had not turned the gas on for the building. Plumber / Heating engineer saved?

Issue 3 - There is no hot water nor central heating! We visited the property that morning and realised the pilot light had gone out. Pressed the reset button, and all working fine. Call out fees saved!

Issue 4 - Broken window, that doesn't shut! Handyman called out and fixed for £20.

Issue 5 - Window doesn't open! We visited the property and showed the tenant how to open the safety latch.

Broken window aside, all of the above saved the landlord money by not calling out a contractor unnecessarily and as we are keen for tenants to feel looked after obviously there was no charge to them. I am aware some agents might feel the tenants should have been charged but I see it as part of the service and learn the lessons for future check ins to be more thorough.

If you have any questions about how our fully-managed service can save you time, money and hassle please contact us. In particular we are keen to hear from owner occupiers in Guildford and Godalming areas that might be needing to move due to personal circumstances or work but don't feel selling is the right thing to do at the moment.

Letting Agent in Guildford - update

Thought I would get fingers to keyboard for the first time this year and give an overview of the lettings market at the moment in Guildford.
Please visit our website at http://www.belvoirlettings.com/guildford for more details about the services we offer.
The demand for properties has seen a sharp rise as soon as the Christmas holidays ended. Tenant demand is as high as ever and there continues to be a shortage of properties to meet this demand. We have 15 viewings booked for Saturday morning, 6 all on the one property! As the sales market struggles and publishes some of the lowest ever figures for December the time has come for many people selling their home to look at facilitating a move via a let-to-buy mortgage. Many of the properties to rent in Guildford are through "accidental landlords". If you are becoming a Guildford landlord for the first time there are many potential legal pitfalls and it is essential you use a good letting agency to help you through this process. Ensure they are NALS registered and members of The Property Ombudsman. Most letting agents will give a free property appraisal, use this as a chance to see what levels of service you think they can offer as well as which types of tenants they normally attract.
Belvoir lettings in Guildford will offer a personal service with regular communication, and keep you informed from the marketing process and interest attracted right through to the end of the tenancy with their fully managed service.
If you are thinking of going it alone be warned of the need for legal certificates such as EPCs, electrical and gas safety plus ensure your insurance is valid when letting your property and you have the mortgage lenders permission.
For some free advise please contact your local NALS registered Letting Agent.We can help with Insurance, Mortgages, Wealth management, finding a rental property and of course finding high quality tenants for your Guildford property

Regards

Belvoir Lettings Agency Guildford