Investment Spotlight
Welcome to the sixth edition of our monthly investment spotlight, the first of 2023, where we pick three properties which are currently for sale with Mark Ewin, in and around Bury St Edmunds, which we believe would make a good buy-to-let purchase, Then, using our experience and expertise we give you a run down of the pros, cons and likely rental prospects of each.
Four Bedroom House On Kendall Close
Our first offering could represent a turn key investment, with little to no work needed to prepare for rental. This four bedroom detached family home is located on Kendall Close which is part of the Moreton Hall development, and is a very popular location with both local families and visiting renters from the US who are stationed at RAF Lakenheath and Mildenhall. Internally and externally the property looks to be in excellent condition and comes with a spacious garden for a newer build property. There is also the benefit of a garage and plenty of driveway parking.
Hazells already lets and manage similar properties across Moreton Hall and they always rent quickly to good quality tenants. This home would rent for between £1850 and £1950 per calendar month, and based on the asking price of £475,000 this gives a gross yield of between 4.67% and 4.93%.
The EPC Rating is favourable too, being a “C” rating, avoiding any potential issues in future.
https://www.markewin.co.uk/properties-for-sale/property/11706733-kendall-close-bury-st-edmunds
Three Bedroom Detached House in Elmswell
For an investor looking for something where value could be added, is this sizable three bedroom detached house, which needs some considerable updating before a tenant can be sought. The property offers plenty of living space, with three reception rooms, (offering up the possibility of converting one to a downstairs bedroom), a utility room and two WC’s on the ground floor. A full refurbishment is required, and when doing so it would be advisable to make some upgrades to the energy efficiency rating, as this currently sits at “D”.
When done, the property should attract a rent of between £1150 – £1200 PCM, which based on a purchase price of £300,000 plus an allowance of £50,000 for the refurbishment (which would also add to the capital value of the property), would give a gross yield of between 3.94% and 4.1%.
Certainly one to consider if you are not afraid to put in some work to get the property up to scratch.
https://www.markewin.co.uk/properties-for-sale/property/11606299-rose-lane-elmswell-bury-st-edmunds
One bedroom maisonette on Willow Way with Sitting Tenant
This wonderfully located one bedroom maisonette sits on Willow Way, which is a quiet road well within walking distance of both Bury St Edmunds town centre and the train station. It comes with sitting tenant for a straightforward investment purchase, Internally the property is in good condition, but some value could be added in the future should you wish to update the kitchen and bathroom. The property benefits from gas central heating which is not always present in smaller properties, and also comes with a garage below, offering plenty of storage space.
The property has the advantage of coming with existing tenants who are paying £750 per calendar month, which is a good rent for the condition in the current market. So at £180,000 this could be a straightforward investment, giving a gross yield of 5%.
The EPC is rated “C” so there are no concerns here either.
https://www.markewin.co.uk/properties-for-sale/property/11803250-willow-way-bury-st-edmunds
If you would like further information on any of the properties above, or would like to arrange a viewing, please contact Mark Ewin Estate Agents on 01284 217 530
As always, if you would like specific advice on any aspect of lettings please do contact either Chris or Andrew on 01284 702 626
