cheapest areas to buy a property

vikki.f

hi

we have been considering buying a 2nd property to rent out, and in our area of the south east you are looking at 100k plus for a 2up/2down. looking at Rightmove etc there are clusters of towns were we have found houses for 30-50k, any suggestions of good investment areas around the UK where we shoud be looking, We have been told that despite fees going up university towns are normally a good option.

Many thanks in advance

poppysarah

This year will be a bumper year for uni. Next year maybe not so.
There's a lot of uni property been built specifically for students.
Can you compete against that in terms of quality and price?

If you don't get a tenant and it's a uni area will you get one at all that year? You might, or might not. Can you pay a years rent and insurance on an empty house?

Whilst properties might be cheap doesn't mean it's easy. Areas in Manchester are dirt cheap but have extra landlord restrictions and registration to consider.

googler

Surely when the value of property goes down, the achievable rent goes down in proportion....?

OP, you'll be going into this as a business, not a hobby. Have you done a business plan for this? It might be a good idea to do a business plan with the help of someone who's actually doing this at the moment.

Have you read up on what your obligations will be as a landlord?

Running_Horse

googler wrote: »

Surely when the value of property goes down, the achievable rent goes down in proportion....?

I'm no expert in this field, but doesn't rental yield go up if you pay less for the property? I would also think that if less are buying then more must be renting...supply and demand will separate rental and selling markets.

As for the OP, Rightmove will bring up many northern dumps with a uni/poly and lots of cheap houses. Doesn't automatically make it a wise investment.

poppysarah

Running_Horse wrote: »

I'm no expert in this field, but doesn't rental yield go up if you pay less for the property? I would also think that if less are buying then more must be renting...supply and demand will separate rental and selling markets.
.

Report this week said more people are sharing than renting on their own - just to economise.