I’ve been looking for a good property to purchase that has instant equity as well as offering a good yield but looking at some of my favourite areas, I’m noticing that asking prices are moving up. At the start of the year, there seemed to be a glut of potential investment properties at a reasonable price but these have all been snapped up.
I have noticed a property that I feel would make a good investment property as it will offer a good yield along with attracting a long standing family to the property due to the size, location and garden.
The property is on the market with Keybanks in West Derby and the property itself is a mid terrace property that has been refurbished to a good standard. The benefits of this property are the driveway, UPVC windows, new roof, excellent condition kitchen, great size rear garden, three good size bedrooms.
The property is on the market for an asking price of £100,000, there hasn’t been many property sales recently and the last few sales were around £80,000 back in 2014 and 2013 and both properties needed full refurbishments on them so I do feel the asking price is probably a fair price but as always, I would like to achieve a 10% discount on the asking price. There had been a property sold for £28,000 but this property was never on the market so it would suggest to me that it was a private sale and the property was mortgageable.
I have rented a couple of similar properties and we have always had good interest in them so I would feel you would look to achieve between £6,900 per annum and £7,200 per annum/ for the property giving the property a gross yield of between 7% and 8% for a low hassle investment.
There is some great buy to let mortgage deals available and if you have a deposit of 30%, then you can get a 2 year fixed deal for less than 1.5%, this certainly makes up for there not being many bargains on the market.
If you see any other properties that you like the look of, then email them over to me to firstname.lastname@example.org and I will give you my honest and professional opinion on them, I am here to help you invest in my great city of Liverpool.