Discussion
Demand will always be high for rentals when people can't afford to buy due to lending issues.
If you get it at a good price and don't need to (or have access to cheap funding) lend then it could work for you.
Just be aware that there's more to it than spending the cash and seeing a return on it.
If you get it at a good price and don't need to (or have access to cheap funding) lend then it could work for you.
Just be aware that there's more to it than spending the cash and seeing a return on it.
AB said:
Just be aware that there's more to it than spending the cash and seeing a return on it.
Thanks for your prompt response.Can you ellaborate a little bit thought please?
I haven't got any previous personal experience of BTL.
The appeal of this house is that it needs a little bit of work doing to it - which really doesnt phase me working in that industry. I imagine some may have been put off by it - having seen pics of property in question.
This isn't a short term gain thing - in fact, i wouldnt mind too much if it wasnt bringing in a monthly profit - although that would of course be nice - it's all about long term gains that i can pass on to my children when they're at uni age. I have 3 children under the age of 4 and the more i hear of the £9k uni fees, the more i shudder - should all mine go down that route, thats £27k per yr at todays money. A few small BTL investments might assist with that one.
sider said:
Going viewing a property tomorrow - is now a good time to be looking at Buy-to-let.
Am i right to assume that it is perhaps?? House seems a good price and there doesnt seem a massive amount on the rental market - perhaps indicating that demand is fairly high??
Speak to the agentAm i right to assume that it is perhaps?? House seems a good price and there doesnt seem a massive amount on the rental market - perhaps indicating that demand is fairly high??
When I bought my BTL, I initially discounted my own area as there are hardly any properties for rent (no demand I thought!). When I spoke to the local agents they all told me it was supply rather demand restricting the rental market and they said they could let anything on our area.
For any property I went to view I got them to give me the rental value as well (all were also letting agents). I bought, and decided to let it myself (Gumtree), and got about 14 interested people in 3 days. 7 or so came to view, and 3 were ideal.
In short speak to a letting agent, they will know their area.
sider said:
AB said:
Just be aware that there's more to it than spending the cash and seeing a return on it.
Thanks for your prompt response.Can you ellaborate a little bit thought please?
I haven't got any previous personal experience of BTL.
The appeal of this house is that it needs a little bit of work doing to it - which really doesnt phase me working in that industry. I imagine some may have been put off by it - having seen pics of property in question.
This isn't a short term gain thing - in fact, i wouldnt mind too much if it wasnt bringing in a monthly profit - although that would of course be nice - it's all about long term gains that i can pass on to my children when they're at uni age. I have 3 children under the age of 4 and the more i hear of the £9k uni fees, the more i shudder - should all mine go down that route, thats £27k per yr at todays money. A few small BTL investments might assist with that one.
We've also bought long term. Personally I wouldn't bank on any capital growth for 10 years.
NoelWatson said:
Do you genuinely think that there is no better place to put your money than BTL?
BTL can be good, if you choose the right property. I bought a run down flat in a scruffy part of Coventry in December for £30k. Another 5K for renovation, and its now let at £400pcm. A very reasonable return for 35 grand and 10 weeks work.NoelWatson said:
sider said:
This isn't a short term gain thing - in fact, i wouldnt mind too much if it wasnt bringing in a monthly profit - although that would of course be nice - it's all about long term gains
Do you genuinely think that there is no better place to put your money than BTL?BTL gives both capital and income but is far more work. Doesn't seem to bother the Duke of Westminster though..
One can’t generalise on whether it is the right time to invest in a BTL, the property, the price, repair state of the property, the area, the age of the OP and whether the OP can both self manage and carry out own repairs etc.
As a landlord of some 15 plus years, with hindsight many of the properties I now own, I would neither have purchased the properties, nor let to the tenants that I rented the properties out to.
I have recently sold two HMO’s, houses in multiple occupation, with one other property going through major repairs, thanks to an evicted tenant, with another three properties shortly to be empty due to tenants moving out.
Bristol way, there are lots of properties for Let, with lots of downsizing going on, tenants moving from a two bed to a one bed flat. With so much movement going on with tenants, properties having to be re-decorated, repairs etc., if a landlord hasn’t the ability or time to carry out the work themselves, then costs to employ can cut deap into rental receipts.
As a landlord of some 15 plus years, with hindsight many of the properties I now own, I would neither have purchased the properties, nor let to the tenants that I rented the properties out to.
I have recently sold two HMO’s, houses in multiple occupation, with one other property going through major repairs, thanks to an evicted tenant, with another three properties shortly to be empty due to tenants moving out.
Bristol way, there are lots of properties for Let, with lots of downsizing going on, tenants moving from a two bed to a one bed flat. With so much movement going on with tenants, properties having to be re-decorated, repairs etc., if a landlord hasn’t the ability or time to carry out the work themselves, then costs to employ can cut deap into rental receipts.
Yes, very much down to location. We are experiencing a very buoyant BTL market here in the North West. We've never experienced such high demand for rental property and as soon as we advertise a vacant property the phone is hopping.
We've also had some excellent buys from auction, mostly buying repossessed properties. Some have been at prices 50 - 70% down on their peak prices of 2007. It's a very good time to buy at the moment.
We've also had some excellent buys from auction, mostly buying repossessed properties. Some have been at prices 50 - 70% down on their peak prices of 2007. It's a very good time to buy at the moment.
eldar said:
BTL can be good, if you choose the right property. I bought a run down flat in a scruffy part of Coventry in December for £30k. Another 5K for renovation, and its now let at £400pcm. A very reasonable return for 35 grand and 10 weeks work.
How much do you think you could sell it for post refurb?S6PNJ said:
NoelWatson said:
Do you genuinely think that there is no better place to put your money than BTL?
So what is your suggestion Noel? I'm genuinely interested as I'm about to add to my property portfolio and would be keen to hear alternative options.Ade07 said:
Yes, very much down to location. We are experiencing a very buoyant BTL market here in the North West. We've never experienced such high demand for rental property and as soon as we advertise a vacant property the phone is hopping.
So why is average yield <5% if there is such demand?NoelWatson said:
Ade07 said:
Yes, very much down to location. We are experiencing a very buoyant BTL market here in the North West. We've never experienced such high demand for rental property and as soon as we advertise a vacant property the phone is hopping.
So why is average yield <5% if there is such demand?NoelWatson said:
S6PNJ said:
NoelWatson said:
Do you genuinely think that there is no better place to put your money than BTL?
So what is your suggestion Noel? I'm genuinely interested as I'm about to add to my property portfolio and would be keen to hear alternative options.Ade07 said:
NoelWatson said:
Ade07 said:
Yes, very much down to location. We are experiencing a very buoyant BTL market here in the North West. We've never experienced such high demand for rental property and as soon as we advertise a vacant property the phone is hopping.
So why is average yield <5% if there is such demand?NoelWatson said:
How much do you think you could sell it for post refurb?
45k - 48k or so, judging by similar flats in the block. It was probably undervalued by 5 to 10 thousand, the seller was desperate to sell, and I had the cash. I don't plan to sell, a 10% net return suits me at the moment.Gassing Station | Homes, Gardens and DIY | Top of Page | What's New | My Stuff