Belvoir Sheffield has revealed that despite recent reports showing the student rental market is very lucrative, many landlords are still avoiding student investments throughout South Yorkshire.
Backed by recent figures released by The Business Mortgage Company, which found that only two per cent of applications processed by them were for student housing.
Rick Flay, Director at Belvoir Sheffield, who offer a wide range of houses to rent in Sheffield, said:
“Student houses are a fantastic investment, but many landlords avoid this target market for fear that they could have issues. If you use a professional lettings agency, they will deal with the actual tenant relations side of things, leaving you to reap the rewards.
In South Yorkshire our student properties are attracting great yields and more landlords should be looking to invest.”
The latest buy-to-let index by TBMC found that large terraced houses rented to students can expect the strongest rental yield, with the third quarter of 2013 noting an average yield of 7.87 per cent for the aforementioned housing type. Student housing in general was also proved to be a provider of high yield, receiving an average of 7.5 per cent as opposed to the 6.06 per cent overall average.
The index also revealed the interest remained low for buy-to-let mortgages, with half of the mortgage offers processed by TBMC being remortgage products, and fixed rate deals making up just over half of the offers processed. The loan to value on buy-to-let products has also increased, with the average now being 74.69 per cent as opposed to 73.91 in the previous quarter.
Rick, whose estate and letting agency on Campo Lane in Sheffield, specialises in providing student accomodation in Sheffield, added: “Student accommodation generally has much lower void periods, especially if bought in the major university cities such as Sheffield. I would like to invite any landlords looking to invest in student accommodation, to contact is for a free no obligation meeting to discuss their plans.”
Belvoir Lettings Sheffield is the One Stop Shop Specialists for residential property, for buying and selling, for lettings including property management, investment, and wealth management advice, fit outs and renovations, mortgages and conveyancing.
For more information on Belvoir Sheffield, please call lettings on 0114 25 25 215 or sales on 0114 331 0033, or email us at sheffield@belvoirlettings.com
