A first-time landlord came to see me at our office in Park Gate this week. He lives in Locks Heath and having recently heard about the planned changes to Stamp Duty for Buy-To-Let Landlords in April 2016 has decided to invest sooner rather than later.  He asked my opinion on where he should buy a Buy-To-Let property.

As with a lot of investors this Landlord is keen to buy in a similar area to where he currently lives so has been thinking about Locks Heath, Park Gate and Titchfield Common as potential locations.

We looked at these three current Buy-To-Let deals in those areas to explore which area would work for him:

A one bedroom house with a conservatory and gas central heating in Locks Heath which is on the market for £165,000 and would let at around £695pcm giving a gross yield of 5%.  When you also consider that this property has increased in value by 15% in the last 18 months this certainly looks like an attractive purchase.

The second property is a modern ground floor two bedroom apartment in Park Gate.  This is on the market for £175,000 and would achieve a rental income of £750pcm.  This gives a gross yield of 5.14%.  The property is less than 10 years old so there is unlikely to be too much maintenance to factor in to the calculations.

Lastly we looked at a studio flat in Titchfield Common which is on the market for £107,950.  A monthly rent of £495pcm in good condition would give a gross yield of a handsome 5.53%.

We found all three areas that the Landlord was looking at as potential locations to be equally good for investment.  All give good returns with some giving better capital growth than others.  So it is now down to him to make his decision prior to 1 April 2016.

If you would like some advice about buying to let, whether you are an established Landlord or someone thinking of investing, please come in and see me at our office in Middle Road, Park Gate or call me on 01489 570011.