BTL - Rochester or Milton Keynes?

bluedrop

Hi all,
We are struggling to decide between Rochester and Milton Keynes for our first BTL property. We plan to hire a letting agent to manage the property for us.

Property: we are looking to buy a house 2-3 bedrooms, with atleast 2 double bedrooms. I'm looking at buying in a good area. To start with, I'm going by checkmyarea.com sticking to BC1C2 or better areas. (I will Ofcourse go and check, also ask people I know)

Can the wise people here please share your thoughts?

Also, can someone validate these rental figures ?

Rochester: within 0.8 miles from rochester station
3bed terrace - £800pcm
2bed terrace - £700pcm

Milton Keynes: within 1mile of Emerson Valley area.
3bed Terrace - £750pcm
2bed terrace - £700pcm

I'm avoiding flats due to service charges etc eating into my profits

Pfizzy

Hi Bluedrop
I live in Furzton next estate to Emmerson, the two bedroom terraced next door to me is £700 per month, lovely area very sought after, excellent links to London, station about 5 mins away, good schools etc. Hope this helps

cattie

I don't know much about Milton Keynes bar the Bowl & the Cows, but if I had to choose an area to live out of the 2 you've mentioned, it would be Rochester.

It's an attractive place with a lot of history & with excellent links to London via rail, coach or car & very easy to reach the coast, Eurostar & loads of beautiful countryside locations.

davsidipp

Rochester,good links,plus houses have shot up in price just lately,so if you do sell,you will get a good return.

Talc1234

I was looking at Rochester autumn 2012 and the market was heating up then with multiple viewings. Today there is very little available, 2 bed fixer-uppers going for £150K. Much now marketed as sealed bids

Lots of victorian terraces, parking a problem. I wouldn't dismiss the nice looking river view apartments or St Mary's Island Chatham

TBA for a BTL I think you would get more from Chatham Gillingham esp near the dockyards and it's several colleges / universities

DaveTheMus

I remember reading that MK, population wise, is the fastest growing part of the UK.

Running_Horse

Rochester is the least bad of old Medway and is about to get a new railway station that might add 0.1 mile to the walk to house, but with so many trains to so many destinations it is still worth a look. You need trains because parking is a massive issue. We just went by our old house and could barely drive round, never mind park.

Grumpelstiltskin

bluedrop wrote: »

Hi all,
We are struggling to decide between Rochester and Milton Keynes for our first BTL property. We plan to hire a letting agent to manage the property for us.

Property: we are looking to buy a house 2-3 bedrooms, with atleast 2 double bedrooms. I'm looking at buying in a good area. To start with, I'm going by checkmyarea.com sticking to BC1C2 or better areas. (I will Ofcourse go and check, also ask people I know)

Can the wise people here please share your thoughts?

Also, can someone validate these rental figures ?

Rochester: within 0.8 miles from rochester station
3bed terrace - £800pcm
2bed terrace - £700pcm

Milton Keynes: within 1mile of Emerson Valley area.
3bed Terrace - £750pcm
2bed terrace - £700pcm

I'm avoiding flats due to service charges etc eating into my profits

Be wary of Checkmyarea. This is what it says about my postcode.


Properties are mainly semi-detached or terraced and are mortgaged or council houses. The typical property price is very low. The properties are small in size and are located in large and small towns or suburbs. People will typically have lived here between 4 and 11 or more years.


Errr Every property except 2 in my postcode are detached ( some 4 bed, some 3, a few 2), just one pair of semis, not a council house in sight.

bluedrop

Pfizzy wrote: »

Hi Bluedrop
I live in Furzton next estate to Emmerson, the two bedroom terraced next door to me is £700 per month, lovely area very sought after, excellent links to London, station about 5 mins away, good schools etc. Hope this helps

Thank you Pfizzy. Which station is that? I've seen Furzton on the map, and I see Bletchley. Is the area around Bletchley good? Based on other posts on forums, I zeroed on the following areas in MK.

Emerson Valley
Furzton
Shenley Church End
Shenley Brook End
Shenley Lodge
Westcroft
Tattenhoe
Kingsmead
Oxley Park
Grange Farm
Two Mile Ash

Are these areas ok?

Hanky_Panky

bluedrop wrote: »

Thank you Pfizzy. Which station is that? I've seen Furzton on the map, and I see Bletchley. Is the area around Bletchley good? Based on other posts on forums, I zeroed on the following areas in MK.

Emerson Valley
Furzton
Shenley Church End
Shenley Brook End
Shenley Lodge
Westcroft
Tattenhoe
Kingsmead
Oxley Park
Grange Farm
Two Mile Ash

Are these areas ok?

I live in Emerson Valley. All of the areas listed above are good on the whole. Some of the newer ones like Oxley Park and Tattenhoe the houses are a bit more cramped in but you'll be doing a viewing anyway so can make your own decision on that.

I can be outside Bank tube station in under an hour door to door (IYSWIM) so good links. It's also quite easy to cycle to the station along the Redways if worried about parking charges. Talking about CMK station here, Bletchley is nearer but a slightly slower service that stops more.

Never been to Rochester so can't comment but don't be fooled into thinking that MK has nothing offer history wise or isn't an attractive place to live. Most of the criticism comes from people who haven't lived here but might have visited at some point. It's really difficult to get any bad words from anyone who has spent any time here.

Also as someone else stated it is growing very quickly and there is always a corresponding demand for rentals.

jjlandlord

What are the relative yields?

You've listed the market rents. However, as an investor you really ought to look at the achievable yields.
£750 pcm on a property that you bought for £100k is obviously much better that £800 pcm on a property that you bought for £200k.