The Penicuik Property Blog’s buy to let opportunity today needs a refurbishment but, if you are up for the challenge, then I recken that you can get a yield of up to 10.7% on the property after refurbishment.
This property is a 3 bed, upper villa in a block of 4 on Carlops Avenue. Carlops Avenue is off John Street at the Angle Park garage junction. The flat has a lounge, an unfitted kitchen, three bedrooms (2 double and 1 single) and a bathroom without a shower. The property needs to be refurnished. It needs a new kitchen, a new bathroom and re-decorated and re-carpeted throughout. Let’s say this costs £12,000.
This flat is on the market with Glasgow Property Agenda at a guide price of £78,000 which is £12,000 less than the Home Report value. Given the condition of the property (ie needing refurbishment) and as the selling agent is not a ‘known commodity’ in Penicuik, it is hard to get a read on the sellers views on price so let’s say it is in the range of £78,000 (the guide price) and £90,000 (the Home Report valuation). Adding the estimated refurbishment costs of £12,000 would get you to a total spend of between £90,000 and £102,000.
Housing benefit tenants should pay £800 pcm for a flat like this which gets you to a yield of between 10.7% and 9.4%.
If you would like to pick my brains about this property or buying any other properties for investment purposes, pop into our office at 6 Bank Street, Penicuik for a coffee and we can have a chat.