This week's 3 Best Buy-To-Let Deals generating annual incomes of around £7,500pa & £9,000pa

Property 1

3 Bed Terrace House For Sale.  Guide Price £210,000
Barnack Road, Stamford.  Marketed by Knight Partnership

Ex-local authority properties can carry a stigma sometimes, but, the reality behind these properties are that they are a tremendous rental investment.  Apart from the wonderful space inside the property, they also offer large gardens which is likely to attract tenants seeking longevity.  With a rental income of £750pcm equalling £9,000 per year, the yield return is 4.8%.

 

Guide Price: £210,000

Rent: Approx. £750pcm / Income: £9,000pa

Yield: c4.8%

Click this link for more details on this property:-

http://www.rightmove.co.uk/property-for-sale/property-58535530.html 

Property 2

2 Bed Semi-Detached House For Sale.  Guide Price £172,500
Irwell Close, Oakham.  Marketed by UPP Property Agents

The first of the Oakham properties is this fantastic 2 bedroom modern semi. 

My sales director has reduced this property this week by £7,500 which now makes this property a serious contender for any first time let. 




Offered in excellent order and located with views over neighbouring countryside from the rear, I would expect this property to let at £595pcm - £625pcm, equalling £7,500 per year (max), making the yield return 4.4% (based on a purchase price of £170,000 and a monthly return of £625).

Guide Price: £172,500
Rent: Approx. £595-£695pcm / Income £7,500pa
Yield: c4.4% (based on purchase price of £170k and rent @ £625pcm)
Call: Adrian McCarthy, sales director, UPP Property Agents on 01572 725 825

Click this link for more details on this property:-
http://www.rightmove.co.uk/property-for-sale/property-45844761.html

 

Property 3

 

3 Bed Semi-Detached House For Sale.  Guide Price £179,950

Plover Close, Oakham.  Marketed by UPP Property Agents

In my opinion, there is no better investment property available on the Rutland property market than this 3 bedroom semi detached house.  Currently let by another investment landlord who no longer lives in the area.

The property has been constantly let out to the same tenant for the past 9 years and has generated this investor a total of £61,000 in rental income over that period. Offered with a return of £625pcm and with an expected sale around £170,000 (which is £15,000 under market value btw!) and a yield of 4.4%.

 

Guide Price: £179,950

Rent: Approx. £625pcm / Income £7,500pa

Yield: c4.4%

Call: Adrian McCarthy, sales director, UPP Property Agents on 01572 725 825

 

Click this link for more details on this property:-

http://www.rightmove.co.uk/property-for-sale/property-47234265.html

 

 

If you would like to discuss any of the above in more detail with me, or if you are considering investing in a different property, just email me the details and we can discuss the property further.

David Crooke, Ownerdavid@upp-property.co.uk 

Understanding People & Property

Sales & Lettings




Stamford 01780 484 554 
Oakham   01572 725 825

Will The Government's 'White Paper on Housing' Transform Stamford's Property Market?

The Stamford and Rutland housing market has gone through a sea of change in the past decades with the Buy-To-Let (BTL) sector evolving as a key trend, for both tenants and landlords.

A few weeks ago, the government released a 'White Paper On Housing'.

I have now had a chance to digest the report and wish to offer my thoughts on the topic...  

It was interesting that the private rental sector played a major part in the future plans for housing. This is especially important for our growing Stamford and Rutland population.

In 1981, the population of South Kesteven stood at 98,400

and today it stands at 138,900.

Currently, the private rented / buy-to-let (BTL) sector accounts for 16.6% of households in the town.  

The government wants to assist people living in the houses and help the economy by encouraging the provision of quality homes – this in a housing sector that has grown due to worldwide economic forces pushing home ownership out of reach for an increasing number of the population. Interestingly, when we look back at the 1981 figures for homeownership, a different story is told:

In 1981, 58.98% of Stamford people owned their own home.
In 1981, 28.61% of Stamford people rented from the council or housing association, and 12.42% of Stamfordians rented from a private landlord.           

 

The significance of a suitable housing policy is vital to ensure suitable economic activity and to create a vibrant, desirable place to live in.

With the population of South Kesteven set to grow to 161,000 by 2037, it is imperative that South Kesteven District Council (SKDC) and central government don’t hold the area back, but proactively work together to encourage the building and provision of quality homes.

One idea the government has proclaimed is a variety of measures aimed at encouraging the Build-to-Rent (BTR) sector (instead of the BTL sector). These include allowing local authorities to proactively plan for BTR schemes, and making it simpler for BTR developers to offer inexpensive private rented homes.

To do this the government will invent a distinct affordable housing class for BTR, called ‘Affordable Private Rent’, which will oblige new homes builders to provide at least 1 in 5 of a new home developments at a 20% discount on open-market rents and 3-year tenancies for tenants. In return, the new homebuilders will get better planning assurances. 

Private landlords will not be expected to offer discounts, nor offer 3-year tenancies – but it is something Stamford and Rutland landlords need to be aware of as there will be greater competition for tenants.

Over the last 10 years, home ownership has not been a primary goal for young adults as the world has changed. These youngsters expect ‘on demand’ services from ‘click and collect’, Amazon, Dating Apps and TV with the likes of Netflix. Many youngsters see that renting more than meets their accommodation needs, as it combines the freedom from a lifetime of property maintenance and financial obligations, making it an attractive lifestyle option.

Private rented housing in Stamford and Rutland, be it BTL or BTR, has the prospective to play a very positive role.

 

If you would like a FREE VALUATION of your own home or property investment for either sales or rental purposes, please get in touch. We are here to help you.

David Crooke
david@upp-property.co.uk

Owner and managing director

 

Understanding People & Property

SALES & LETTING AGENTS 

Stamford: 01780 484 554      Oakham: 01572 725 825

3 Best Buy-To-Let Deals on the Rutland & Stamford property market offering 4.4%-5.5% yields

Property 1
3 Bedroom End of Terrace House For Sale - £180,000
Gloucester Road, Stamford.  On the market with Leaders

A wonderful little 'Stamford gem' has come to market this week. Offered in good decorative order, this property looks as if it is ready to go straight away.  In my opinion, you could achieve close to £800pcm on the rental income which is over 5% yield - 5.3% to be precise.  This property should be considered for any serious investor currently in the market place.


Price: £180,000
Rent: Approx. £800pcm
Yield: 5.3%
Click this link for more details on this property:-
http://www.rightmove.co.uk/property-for-sale/property-58424893.html

 
 

Property 2
3 Bedroom Terrace House For Sale - £149,950
Branston Road, Uppingham.  On the market with Murray Estate Agents

Rarely in Uppingham do you find a property generating over 5% yield and with this property you're likely to find yourself with a long term tenant.   These properties offer fantastic space for young families to grow and would be a wonderful first time let for an investor.  Expect a return of £695pcm with a yield of 5.5%, and that's fantastic!

Price: £149,950
Rent: Approx. £695pcm
Yield: 5.5%
Click this link for more details on this property:-

http://www.rightmove.co.uk/property-for-sale/property-45468672.html

Property 3
3 Bedroom Semi-Detached House For Sale - Guide Price £179,950
Plover Close, Oakham.  On the market with UPP Property Agents

The modern homes located on the “Burley by-pass” are highly recommended by me. 

 

They are the perfect buy-to-let properties and are probably the best investment properties available in Oakham.  They offer very low maintenance and low running costs for tenants, and therefore, these properties are normally snapped up by investors and tenants.  Rental income of £625pcm and a yield of 4.4%, based on a purchase price of £170,000.

 

Guide Price: £179,950

Rent: Approx. £625pcm

Yield: 4.4% (based on purchase price of £170k)

Call: Adrian McCarthy, UPP Property Agents  01572 725 825

 

Click this link for more details on this property:-

http://www.rightmove.co.uk/property-for-sale/property-47234265.html

 

 

If you would like to discuss any of the above in more detail with me, or if you are considering investing in a different property, just email me the details and we can discuss the property further.

David Crooke, Owner
david@upp-property.co.uk 

Understanding People & Property

Sales & Lettings





Tel: Stamford 01780 484 554     Oakham 01572 725 825

 

 

 

Oakham’s senior citizens sitting on £596.5m of property...

Oakham residents aged over 65 years currently hold more housing wealth in their homes than the annual GDP of the whole of the Orkney Islands… and this is a problem for everyone the town.

Many retirees want to move but cannot, as there is a shortage of such homes for mature people to downsize into.  Due to the shortage, bungalows command a 10% - 20% premium per square foot over houses of the same size with stairs.  To add to the woes, in 2014, just 1% of new builds in the UK were bungalows, according to the National House Building Council - down from 7% in 1996.

My research has found that there are 1,740 households in Oakham owned outright (i.e. no mortgage) by over 65 year olds.  Taking into account the average value of a property in Oakham, this means £596.5 million of equity is locked up in these Oakham homes, compared to the GDP of the whole of the Orkney Islands being £385 million of GDP.

A recent survey by YouGov, found that 36% of people aged over 65 in the UK are looking to downsize into a smaller home.   However, the Government seems to focus all its’ attention on first-time buyers with strategies such as Starter Homes to ensure the youngsters of the UK don’t become permanent members of ‘Generation Rent’.  Conversely, this overlooks the chronic under-supply of appropriate retirement housing essential to the needs of the Oakham’s rapidly ageing population. Regrettably, the Oakham’s housing stock is woefully unprepared for this demographic shift to the 'stretched middle age’, and this has created a new 'Generation Trapped’ dilemma where older people cannot move.

Some senior citizens who are finding it difficult to live on their own, are unable to leave their bungalow because of a lack of sheltered housing and ‘affordable’ care home places.  So, older retirees can't leave bungalows, younger retirees can't buy bungalows and younger people can't buy family houses.

Interestingly, the problem will only get worse, as in the 50 year old - 64 year old homeownership age range there are an additional 925 Oakham households that are mortgage free and a further 796 Oakham households who will be completing their mortgage responsibility.  With Government projections showing the proportion of over 65’s will rise by over a third from the current 17.7% to 24.3% of the population in the next 20 years ... this can only add greater pressure to the Oakham property market.

 

 

House prices have rocketed over the last 40 years because the supply of property has not kept up with demand.  With migration, people living longer and high divorce rates (meaning 1 family becomes 2) we need, as a country, 240,000 properties to be built a year to just stand still.   In the 1990’s and early 2000’s, the country was building on average 180,000 - 190,000 households a year, but since the Credit Crunch (2009), that has only been between 130,000 - 145,000 households a year.

The solution?  Release more land for starter homes, bungalows and sheltered accommodation because land prices are killing the housing market as the large firms dominating the construction industry are more likely to focus on traditional houses and apartments.

My opinion?  Well, until the government change the planning rules and allow more land to be built on, bungalows could be a decent bet for future investment as they continue to attract ever growing premiums.
 

If you would like a FREE SALES OR RENTAL VALUATION please get in touch.  We are here to help you.


David Crooke
david@upp-property.co.uk

Owner

 

Understanding People & Property

SALES & LETTING AGENTS

 

Stamford: 01780 484 554      Oakham: 01572 725 825

 

The 3 Best Buy-To-Let Deals on this week's property market in Stamford & Rutland

Property 1:
1 bedroom apartment for sale.  From £160,000
Empingham Road, Stamford.  On the market with Taylor Wimpey

There are benefits to buying a new build property to let out. The greatest attraction to them is the long term warranties that are part of the agreement. Offered with a 10 year NHBC warranty and a 2 year “snagging” warranty, any prospective landlord could expect maintenance free letting.  With a rental return of £595pcm - £625pcm the yield return would come in at 4.7%

Price: From £160,000

Rent: Approx. £595-£625pcm

Yield: c4.7%

Click this link for more details on this property:

http://www.rightmove.co.uk/new-homes-for-sale/property-47077902.html

 

 

Property 2:

2 Bedroom terrace house for sale.  Price £169,950

Martingale Mews, Barleythorpe, Oakham.  On the market with Newton Fallowell

This property is a wonderful rental investment for many reasons. The rental to be expected is c£625pcm and we would expect 8-10 viewings to take place immediately. This property would still come with c7 years of the warranty to run and therefore, would make a fantastic first time rental property. Yield of 4.4%.

 

Price: £169,950

Rent: Approx.£625pcm

Yield: c4.4%

Click this link for more details on this property:

http://www.rightmove.co.uk/property-for-sale/property-47072106.html

Property 3:

3 bedroom semi-detached house for sale.  Guide Price £189,950

Willow Close, Oakham.  On the market with UPP Property Agents

This 3 bed property would give the buyer an opportunity to either add value by extending the property to the side or to let out in its current condition.

Offered to the market with an expected sale price of c£185,000 brining in a yield return of 4.5% based on a monthly rent of £695pcm.

 

 

Call: Adrian McCarthy, sales director, UPP Property Agents on 01572 725 825

 

Guide Price £189,950

Rent: Approx. £695pcm

Yield: c4.5%

Click this link for more details on this property:

http://www.rightmove.co.uk/property-for-sale/property-47049051.html

 

If you would like to discuss any of the above in more detail with me, or if you are considering investing in a different property, just email me the details and we can discuss the property further.

David Crooke, Owner
david@upp-property.co.uk 

Understanding People & Property

Sales & Lettings





Tel: Stamford 01780 484 554     Oakham 01572 725 825

Stamford’s ‘Generation Trapped’ and the £1.8bn legacy

Attitudes to renting have certainly changed over the last twenty years and my analysis suggests this change is likely to be permanent. 

The Royal Institution of Chartered Surveyors (RICS) predicted that the private rental sector is likely to grow substantially by 1.8m households across the UK in the next 8 years, with demand for rental property unlikely to slow and newly formed households continuing to choose the rental market as opposed to buying.

Many residents now consider renting as a lifestyle choice, and not the predicament that some see these ‘Generation Renters’ as being confined in.

My real concern for Stamford homeowners and Stamford landlords alike, is our more mature homeowners.  In a previous article, I stated that Stamford’s current senior citizens (65+ year olds) were sitting on £844.03m of residential property.  However, I didn’t talk in depth about the ‘Baby Boomers’ (50yr - 64yr olds) and what their properties are worth.  Neither did I discuss how the current state of affairs could be holding back those younger residents.

In Stamford, there are 1,399 households whose owners are aged between 50yrs - 64yrs and about to pay their mortgage off.  That property is worth, in today’s prices, £444.5m.  

There are an additional 1,626 ‘mortgage free’ Stamford households, owned by 50yr - 64yr olds, worth £516.7m in today’s prices, meaning...

 

Our local ‘Baby Boomers’ and senior citizens are sitting

on £1.80bn worth of Stamford property

These Stamford Baby Boomers and senior citizens are sitting on 5,681 Stamford properties and many of them feel trapped in their homes, and hence I have dubbed them ‘Generation Trapped’.

Recently, the English Housing Survey stated 49% of these properties owned by the ‘Generation Trapped’ are under-occupied - that is, classed as having at least 2 bedrooms more than needed.  These houses could be better utilised by younger families and blended families, but research carried out by The Prudential suggest in Britain it’s estimated that only 1 in 10 older people downsize, while in the USA for example 1 in 5 do so.

The growing numbers of older homeowners who want to downsize their home are often put off by the difficulties of moving.  The charity ‘United for all Ages’, suggested recently many are put off by the lack of housing options, 19% by the hassles and associated costs of moving, 14% by having to declutter their possessions and 14% by family reasons, such as staying close to children and grandchildren.

Helping mature homeowners to downsize at the right time will also enable younger people to find the homes they need – meaning every generation wins, both young and old. However, to ensure downsizing works, as a country we need more choices for these ‘last time buyers’.

Theresa May and Philip Hammond can do their part and consider stamp duty tax breaks for downsizers, our local council in Stamford and the planning dept. should play their part, as should landlords and property investors to ensure Stamford’s ‘Generation Trapped’ can find suitable property locally, close to friends, family and facilities.

If you would like a FREE SALES OR RENTAL VALUATION please get in touch.  We are here to help you.

David Crooke
david@upp-property.co.uk

Owner & managing director

 

Understanding People & Property

SALES & LETTING AGENTS

 

Stamford: 01780 484 554      Oakham: 01572 725 825