London Studio Flat - BTL Advice

sanfrancisco

balsingh wrote:

... and the olympics only last a month!! After that, its all downhill.

Its not even that - it's only 2.5 weeks!!! Alot of money to splash out for something that lasts 2 weeks and is 6 years away!

lynzpower

although, in fairness they reckon on it being the transport that will be the money-maker/ attraction.

Tommy_C_2

BobProperty wrote:

Say £10k for the materials for a loft conversion. To do it properly to Building Regs you are looking more like £25k-£30k. :eek:

I believe the loft above is the same floor size as the livingroom so about 16' something x 13' something. The water tank isn't in the loft, so I think 10K-ish would be about right. A mate of mine with a terrace house spent 10K having his done.

Even so, it would be a handy space for storage in a 1 bed apartment, and I noticed that it's not mentioned on the house details. If someone wants to buy an apartment then it is worth considering that there could be roof space above that is not mentioned on the details.

BobProperty

I stand by my figures. £10k for storage space maybe, not to current Building Regulations as a habitable room.

Paul_the_Painter

balsingh, I'm not trying to be overly negative here but have you factored in buildings insurance/ground rent for the flat - say £500p.a. gas safety inspection at £50-100, redecoration every 3 years, say £500p.a. voids, as I say you can bank on 1 month per year another £600.

Perhaps a better way to it is add up all the Annual costs for running the place and then divide by 11 to se if the numbers make sense.

mortgage £7200 (600x12)
ground rent/insurance£500
gas £75
decoration £500
appliances/boiler fund £200
= roughly £8500 per year divide by 11 to allow for 1 month void = Rent you need is £772 per month

Also factor in if you are putting down a sizable deposit the cost that imposes as well, because if was not in the BTL flat it would be earning you interest, or paying off your mortgage

balsingh

Paul_the_Painter wrote:

balsingh, I'm not trying to be overly negative here but have you factored in buildings insurance/ground rent for the flat - say £500p.a. gas safety inspection at £50-100, redecoration every 3 years, say £500p.a. voids, as I say you can bank on 1 month per year another £600.

Perhaps a better way to it is add up all the Annual costs for running the place and then divide by 11 to se if the numbers make sense.

mortgage £7200 (600x12)
ground rent/insurance£500
gas £75
decoration £500
appliances/boiler fund £200
= roughly £8500 per year divide by 11 to allow for 1 month void = Rent you need is £772 per month

Also factor in if you are putting down a sizable deposit the cost that imposes as well, because if was not in the BTL flat it would be earning you interest, or paying off your mortgage

Thanks for the figures but the £600pcm will cover the mortgage and ground rents etc. I havent considered decoration etc and will factor these in.

Either way, I still think a 1-bed flat in London is a better bet than a 3 bed house in the midlands .... unless you can tell me different.