Thinking of buying as an investment

Guest101

60k for 2 bed, rented out at 550 a month - so where abouts is this? i'd gladly invest in that, 15/20k deposit I could get 4 without breaking a sweat!!

I think someone has been liberal with figures here. I live in lancaster a typical town for property prices, a 2 bed would set you back atleast 90k, the 550 no unrealistic, but it depends on the area. i'd say 495 no probs.

carslet

Guest101 wrote: »

60k for 2 bed, rented out at 550 a month - so where abouts is this? i'd gladly invest in that, 15/20k deposit I could get 4 without breaking a sweat!!

I think someone has been liberal with figures here. I live in lancaster a typical town for property prices, a 2 bed would set you back atleast 90k, the 550 no unrealistic, but it depends on the area. i'd say 495 no probs.

Lancaster is more of a high priced area than other towns in lancashire, places like burnley / preston you can 2 beds for 50-60k but i would think rents more realistic at £400, look at blackpool you can get 3 bed for 75k

Cornucopia

Have a look at: Sheffield, Burnley, Leeds, Bradford, or some of the smaller Lancs/Yorks towns: Nelson, Halifax, etc.

I can't vouch for the OP's figures (because they're unwilling to state the exact area), but I would be tempted by something like this:-

http://www.rightmove.co.uk/property-for-sale/property-40754183.html

Rent would be around £300-£350 pcm. That's a similar yield to the OP's figures, about 10%.

And there are loads of 2-bed terraces in Burnley between £15k & £45k.

tim123456789

Thrugelmir wrote: »

Do you not use your ISA allowance?

Like getting 20% tax back makes 1% a good investment return!

(Not!)

tim