Buying garages

[phn]

When the mortgage is paid off, I'll be looking for something to invest in.

I've considered keeping the existing (flexible) mortgage going and using it to buy a flat in the Norwich area circa 130K and rent it out for approx 500 a month, but then if for some reason I was out of work, and there's no tennant in the flat obviously I'll have some extra financial challenges.

So the next thought was to buy garages at 10kish a pop as and when I have funds available - never having to get any loan. I was thinking that if you built up lets say 13 garages (130k investment) each one would have the potential to earn 60 a month for a potential 9360 a year with no loan cost and little maint costs in case any are unoccupied? (i.e. low risk).

Is there any logic to this approach - I'd appreciate advice from anyone who perhaps owns a few garages as I don't have any propr experience in this field.

Thanks,

Philip.

[raptor600]

Higher yields and more agro as you have to manage more properties.

If you have time and don't mind doing the work then it's worth it.

If you can charge yourself out at £100 an hour in the day job - it isn't.

[italianjob1275]

I rented a garage from my local council for a while.

It was £7.40 a week including vat (council tennants didn't have to pay vat for some reason)

Just to give an idea on prices (Nottingham)

HTH

[Blackpuddin]

If you're going to be buying a block of garages, you'd probs be better off all round knocking them down and redeveloping them as affordable housing.

[jonny70]

seems like a lot og Hassle also buying a flat for 130k and renting it out for 500 a month seems like a crap investment.

[sideways sid]

Garages are much less hassle than AST on resi - you're never going to get a phone call in the middle of the night to say the boiler's broken!

Depending on location they can make a good strategic purchase if you can buy a block and later get PP to change use.