A landlord came into our office to ask whether the Alma Park or the Barrowby Gate would be a better place to invest in. She was considering purchasing a semi-detached house, after reading my article last week.
The properties on Alma Park were predominately built in the 1970’s. They are built to a high standard with solid walls, and although they are not the most attractive they are fitting family homes. The Barrowby Gate development was built in the 1980’s. The properties here are more aesthetically attractive, but are slightly smaller than those on Alma Park. The average value of a semi-detached house on Kenilworth Road in the Alma Park is £106,075, whilst on Winchester Road in the Barrowby Gate a semi-detached house has an average value of £132,185.
On the Alma Park, a two bedroomed semi-detached house can achieve rents of around £450-£475 per month, with a three bedroomed semi-detached house achieving £500-£525 per month. Looking at the rents for Winchester Road which is part of the Barrowby Gate, a two bedroomed semi-detached house can potentially achieve £495-£525 per month, with a three bedroomed semi-detached house achieving around £575 per month. Both have similar yields of around 5.5%-5.8% per year, so in this case it depends on what is available when you want to buy.
If you would like any advice when choosing properties, you may come and see us at our office on St Peters Hill.
