Friday, 23 January 2015

Student Investment - 6.16% yield


Talking to an investment landlord from London yesterday, we discussed a property that he had just purchased close to Station Road West. During the conversation he asked my opinion with regard to investing in the student market, here in Canterbury. With a sharp intake of breath, I said ‘tread with caution’, due to the current over supply of student properties and ensure that it’s the right property and in the right place.
The above being said, the following property has just come onto the market and it looks OK. It’s on the market with Miles & Barr for £250K and based upon a 12 month Tenancy, with half rent in July / Aug, i.e. 11 months’ rent, it should give a yield of circa 6.16%. This was based upon a room rate of £350 per student.
From the photos and description, the property appears to be in good shape and should let fairly swiftly. There is a timing issue with this property, which is not insurmountable and just needs to be taken into consideration.

My advice it phone the agent and take a look, and see what you think. Further details can be found at the following link: http://www.rightmove.co.uk/property-for-sale/property-33434937.html


 

 
Should you wish to discuss any other specific properties or just a general chat re the current market, please feel free to contact me on 01227 455717 / canterbury@martinco.com or call in and see me at 23 Watling Street in Canterbury.

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