With modern technology allowing landlords to manage their lettings online and the ability to have rented properties managed by 3rd parties rather than doing it yourself, the option to purchase properties to let nationally has never been more attractive. A Landlord based in the South West can easily rent a property out in York as easily as if it was just down the road.
Rental Yield
The rental yield is basically the percentage you get when you divide the amount you are likely to receive in rent by the amount you have invested. Remember this does not take into account any money needed to maintain and administer the property.
Capital Growth
It could well be that you are simply looking to cover the mortgage of the property but are looking for long term capital growth to give you a nest egg in later life. As long as you can afford any shortfall between the mortgage payments and other outgoings and the rental income then you might want to simply look at the growth in prices for where you want to invest. Bear in mind though that good capital growth now does not guarantee future increases.
Current Best Buy to Let Opportunities
Generally, we find that apartments tend to be the best opportunity in terms of rental yield. It’s often possible to purchase a modern flat that is fairly central for a much smaller sum than other property types, whilst at the same time, the rent that is achievable is fairly similar.
Terraced properties also show promising returns on the most part, this is due to the demand that they receive in York. A large majority of the cities’ housing is in terraced properties, with the streets that are closer to the centre receiving a good rental income that gives a profitable yield.
Sirocco Court, YO31 – £100,000 (Rental Yield of 7.14%)
We’ve previously highlighted this 1-bedroom apartment, which has recently been reduced and now boasts an even more attractive rental yield. It’s located perfectly for staff working at York Hospital or Nestle, with both just a short walk away. With an approximate monthly rental income of £595, the achievable rental yield on this property is at 7.14%.
Offered with no forward chain, this delightful ground floor apartment is an ideal opportunity to start building a property portfolio.
For more information: https://www.rightmove.co.uk/property-for-sale/property-63812163.html
Heslington Road, YO10 – £119,500 (Rental Yield of 6.3%)
This 1-bed flat is located in a perfect area for investment with being in close proximity to the University. The capital growth is likely to increase at a promising rate, and whilst usually we’d recommend investing in property for either capital growth or rental yield, with this investment we feel that you will be able to benefit from both. The property has also recently been reduced, so now is as good a time as any to make an offer. With an approximate rental income of £625pcm, the achievable rental yield on this property is at 6.3
For more information: https://www.rightmove.co.uk/property-for-sale/property-85396811.html
Pottery Lane, YO31 – £169,950 (Rental Yield of 6%)
Terraced properties make up a large amount of the York property market, and they’re in high demand – especially with renters. This property is at benefit from having no onward chain and is located in close proximity to many local amenities such as a corner shop, fish & chip shop and pubs. As well as this, there is ease of access into the city centre via a regular bus route. With 3 double bedrooms and a spacious garden, the property is ideal for a family. With an approximate rental income of £850pcm, the achievable rental yield on this property is at 6%.
For more information: https://www.rightmove.co.uk/property-for-sale/property-75828145.html
If you would like any form of advice on Buy to Let opportunities in York, please call our office on 01904 231022 today!
