Thursday, January 26, 2017

2 Potential Investment properties new to the Melton Mowbray Property Market

This is on the market with Fox Butler for £130,000 and is a 2 bed semi on Staveley Road in Melton Mowbray. 2 beds on this road generally let for £ 575 pcm  and I don't see why this couldn't achieve the same level of rent. That could be a potential return of 5.3%...

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This nice 2 bed in Asfordby is on the market for £139,950 with Melton Premier.
It would easily let for £ 550 pcm which is a potential 4.7% return if purchased for the asking price.

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As many of you know I am always conservative when talking about rental valuations as I feel any investor considering a property should use realistic figures. It will be likely that we can achieve a little more on the day. 

There are other costs that should be taken into consideration include Conveyancing Fees and Stamp Duty which is higher when purchasing a second property. 

If you are considering investing in a buy to let then please give me a call for honest advice on rental returns. 

Monday, January 23, 2017

Just reduced to £130,000 - Asfordby Hill 5.3% potential return

***Update*** Harrison Murray have just reduced the asking price to £130,000 and at £575 pcm you could be looking at 5.3% return 

I keep looking at this property on for sale with Harrison Murray. It is in Asfordby Hill and this area attracts families due to the local Primary School. It is currently on for £135,000 and has been on for a little while now. 

Looking at the details it looks like it needs a new kitchen but the rooms are large and the fabric of the building looks to be in really good order. The rear of the property might not suit everyone but I believe we could get £575 pcm for this which is a potential return of 5.1% if purchased for the asking price.

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Friday, January 20, 2017

Asfordby 2 bed - 4.8% potential return

This 2 bed semi close to the centre of Asfordby could make a great investment property. It is on the market with Melton Premier for £135,000. It would let for £550 pcm easily - giving a potential return of 4.8% 

It looks to be double glazed throughout and in good order. Its an affordable rental so I would expect it to let quickly. Asfordby is a popular location for tenants commuting to Leicester.

Thursday, January 19, 2017

Melton Mowbray - A plan for the future ...

Last week on the blog I looked at Capital Growth of property in Melton Mowbray,
but the capital growth a town can hope to achieve is reliant on the Melton Borough being a desirable place to live over the next 20 years.

This is where we rely on the Melton Borough Council delivering a well thought out plan for the Borough that considers the needs of the families in the town and also employers.

One great thing about Melton Borough Council is the availability of information.    Reading through the plan it is clear they are seeking to improve –

  •          Traffic flow
  •         Housing that will appeal to first time buyers and young families in Melton.

Both of these improvements will encourage investment from employers through a good pool of appropriately skilled work force and ease of movement to major road networks.

You can read the draft plan at
   The plan is currently at draft plan stage and completion for adoption by the council is 2018.   This is when we hope to see investment in the form of new developments and roads that will help the town to thrive in a sustainable way for the growing population.

Property investment should be carefully considered to include the potential future plans of an area. Good levels of capital growth cannot be achieved unless an investor has thought through how the town could look in 20 years time - when they may be considering selling their property.    If it's yield you are after the considerations are different.

I regularly meet with people looking to invest and each person has a different aim for their potential investment.    We have an honest discussion around the pro's and con's of any property - call me to arrange a meeting or pop into our office on Burton Street.    It is important for us that our landlords make the right investment. 

Friday, January 13, 2017

Asfordby Hill - Potential 5% return on investment

This is a really smart property on Asfordby Hill for sale with Newton Fallowell. It is a good size and looks like it needs nothing doing to it. 

It's on the market for £ 145,000 and would easily achieve £600 pcm, I always like to be realistic with my rental valuations and we would expect to achieve more than that on the day.

Thursday, January 12, 2017

Capital Growth in Melton Mowbray

If you are thinking of investing in property you need to consider the growth on the capital invested in a property as well as the rental yield you can be likely to expect.

I looked through the figure for properties in Melton Mowbray and this week I concentrated on my firm favourite a modern 2 bed house.

There are a few developments that were built around 10 years ago – still modern enough to be built with efficiency in mind and you would expect them to be low maintenance for the next 10 years.

Using Rightmove’s log of sold prices you can see exactly what each house was purchased for and what they have recently sold for as the data is collected from the Land Registry.

I found modern 2 bed properties that had been bought in 2005 and sold again in 2016 had seen an average of 11.5% growth in the capital over this time. When you consider during this 10 year period we have also had a double dip recession I think that’s pretty good going.

The rental income on these has also increased over this time. Back in 2005 we would be getting £525pcm for these 2 beds and now we are getting £595pcm.

Asfordby has also seen an increase on the 2 bed houses built around the same time, these have seen a 15% growth in capital since 2005. There are not many of these types of houses in our area though as a lot of the new building stopped around 2008.

If you consider purchasing a brand new property in 2017 you can expect to pay a premium and unless a deal can be negotiated with the developer the yields are not always favourable for investors – this is why many like the properties built around 2005.

The difficulty for investors is getting hold of these types of properties. They don’t come on to the market very often and they sell quickly. Keep an eye on my blog for properties coming up for sale in the Melton area.

Thursday, January 5, 2017

New Year Resolutions

As I look to welcome in the New Year I have started to think about New Year resolutions. If you have considered investing in property then 2017 might be the year to do it.   

Although the Government’s attitude to landlords appears to be fairly negative at the moment; I think that they will soon realise the housing market needs a good balance of quality rental properties alongside affordable homes.

The government must also encourage people to plan for their future.  The historic poor performance of many pension plans has put people off these types of investments.   A lot of our landlords see their investment property as a source of income when they retire.

Property investment is not a quick cash option but a long term investment and with the right consideration can give you a mortgage free asset in 20 years.   Even with the ups and downs of the recessions if you are in a position to hang onto your investment property is a great option.

Looking at Rightmove there is a really nice 2 bed on the Country Park Estate for just under £120,000 with a garden and a garage in a block.   It is on the market with Harrison Murray and they have said the vendor is keen to sell as the property is currently empty.  This would let really quickly for at least £550 pcm.  (I always like to be realistic with any rental valuation so investors can calculate yields based on an easily achievable figure). See my blog post on the 22nd December 2016.

Why not make an appointment to talk to myself or Katie at our office or at your home and we can go through what it's like to be a landlord.   We will ensure you have all the facts and figures to make sure you can make the right decision.   We can help you find a property that will appeal to tenants and give a stable return on your investment.

So my resolution for 2017 is I believe it is going to be one of hard work and making the most of the opportunities we have.