BTL Deals of the Week #8 - three spacious London investment opportunities!
Scouring the market for quality investments can be daunting and, at times, overwhelming. In this week's Buy To Let Deals video, Kristjan reviews three listings, one for each of the price brackets set out: up to £500k, £500-750k, and £750-1m.
Property number one this week is a remarkable bargain when you consider its size vs its price - 80 sq.m listed at just £380k close to travel zone one! Next up is a luxury new build in E3 with everything you’d expect from a brand new modern apartment, and finally a 4 bedroom period apartment in a fantastic Islington location.
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Up to £500k
It’s not often in London that you get the opportunity to buy a 2-bed period property within walking distance of a Zone 1 station for less than £500k- let alone under £400K. Even more so, that you have a 2-bed measuring around 80 square metres (approx. 860 sq ft) with a usable 40 sq metre basement, and with allocated parking to the rear of the property. Current rental income is stated at £23,400 creating a yield of 7.2% at list price. Whether you keep these tenants or reinvest in the property to drive the rental income higher (which is what I would personally do) is up to you but this is an amazing opportunity. As is common- lease length, ground rent & service charge costs are not stated and therefore should be established quickly before proceeding any further.
Whilst the agent has, unfortunately, uploaded the wrong floorplan for this listing- a modern 3-bedroom 2 bathroom apartment with private balcony measuring 1055 sq ft it great value. I would expect to see this apartment achieve anywhere in the region of £2750-3250 per month. When completed, Leaside Lock will offer residents a shared workspace, open lounge, independent local café & more- all of which make this an attractive place to live with good transport links and a huge Tesco’s on its doorstep. A turnkey investment that produces a decent yield from the offset. The property is ‘virtual freehold’ with a 990-year lease- I would just advise establishing what the Ground Rent & Service Charge costs are expected to be. With completion expected in Q4 of this year, this is pretty much ready to go!
Located on Arundel Sq, a few minutes walk from Highbury & Islington tube and the northern end of Upper Street is this 4-bedroom apartment on the market at £900k. The property measures over 1100 sq ft spread over 3rd & 4th floor with great living space and a decent sized balcony/small terrace overlooking the green. I would advise that modernising the cosmetic interior would ensure you maximise your rental income and would suggest opening up the kitchen to create a more spacious & open living space. However natural light, views & location are all top tier. Presented correctly I would not be surprised to see this property achieve £4k+ per month. There would be an abundance of interest in this apartment if it went on the lettings market!