I’ve come across this one bedroom flat that has just come available on the market for £45,000. The property currently has a tenant in situ and they are paying a rent of £4,056 per annum although I know you could achieve more as I have rented a property out in this block recently for £4,800 per annum.
If the property was purchased for asking price, then this is offering a gross yield of 9% but at the rent that I have achieved, then the gross yield goes up to over 10% and any discounts achieved on the asking price could result in a gross yield of over 11%. If you wanted to increase the rent on this tenancy, then you would need to ensure that they have lived in the property for over 12 months before you would be legally allowed to increase the rent (unless the tenant was happy to sign a new tenancy agreement as a higher rent)
11% is a fantastic yield for a property in this location but my warning to any people interested would be to find out about who is actually managing the block and if there are any underlying issues with the building as you would be jointly liable with the other leaseholders to pay to get them resolved.
The property is currently on the market though Acumen in Old Swan and you can see the property advert here
If you are not located in the area and would like me to view this property and speak with the agent to get further info on the property, then contact me on email@example.com and I will be happy to help.