This property is being marketed by Chantries agency and is a prime example of this and has plenty of potential for the investor. It is a semi-detached 4 bed house with a basement plus a bathroom and WC both accessed from the end of the kitchen, on the ground floor.
The agent states that "the property could do with a degree of modernisation and requires work/updating in places". My initial thoughts are, subject to seeking a survey and planning permission, to relocate the bathroom to bed 4 located directly above the current bathroom so plumbing should not be an issue. The current bathroom could become an extension to the kitchen where doors could be installed out into the garden to provide more light. This area could become a dining area too.
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| Current layout at Denzil Road for a potential student property let |
Finally the cellar, is sufficiently big enough to become a bedroom with an ensuite if the cellar is habitable and if plumbing can be installed in this area of the house. The cellar may need to be tanked to insulate it. There is a window there already so it has ventilation.
This recommendation should provide at least 5 rooms for let and a potential rental of at least £3,000 pcm to provide an 8% gross yield, based upon the current asking price (excluding the costs of building and modernisation works).
The property owner will have to seek a HMO license as the finished house will accommodate 5 people, from 2 or more family units, over three floors.
This is definitely an ideal house for those looking for an ambitious project.
Further information is available at http://www.rightmove.co.uk/property-for-sale/property-48168388.html
If you would like to have a chat about property prices in this area or a general discussion on where to invest in student properties in Guildford your call will always be welcome. Phone 01483 320207 or email richard@guildfordpropertyblog.co.uk
Richard,
ReplyDeleteWhile this looks interesting, I think your figures are a little ambitious. The problem is the upstairs layout. If you put the bathroom at the back, how are people going to get to it? Through the bedroom? Somehow I don't think many tenants would go for that. If you partition off a corridor you'd be left with a very small single bedroom/box room and you'd only get half rent for it, so at best, you're looking at 4.5 bedrooms. Another option is to create a partition and out the bathroom above the kitchen with a corridor to the bedroom at the back. I think the space would work better that way, but because of the more complex plumbing, you'd probably have to pay more for the conversion. The other factor is that a basement room may command less rent than a room on the ground or first floors due to lack of light or cold/damp, so you might lose a bit there as well. All that said, it's probably still a good example, but I think 8% might be pushing it.
Mark Hazeldine.
Mark
DeleteYou make an obvious statement regarding the bathroom at the rear so I am glad that a reader is paying full attention!
Bedroom 3 could become a communal area to avoid the issues about having to walk through a bedroom to reach the bathroom. This would enable the sitting room to be split into two bedrooms to supply the proposed 5-6 rooms.
If the basement is tanked and therefore fully insulated there should be no issues with cold or damp. However I do agree that a basement room is likely to have less light and indeed some people are less keen to live in a basement room. However this room may suit somebody who needs a bed for the night only and is therefore unlikely to want to spend much time in their room.
Thanks again for your response, Mark.
Ah, I didn't think of moving the communal room upstairs. Quite a creative idea! I wonder if people would feel it its a bit unusual and be put off by it? Maybe not. I guess it depends on the individual characteristics of the house.
ReplyDeleteMark
EPC Rating is an "F" which is odd as it seems to be double glazed and that is usually enough to get it to or above "E" which one requires from 2018. The EPC was commissioned in March2012 so it might be out of date but the issue suggests the boiler is old and the double glazing was already there in 2012. If it has a new boiler and still gets F then there must be a hole in the roof. Any articles on the Bellfields estate Richard?? I still think that gives you the best yield if you do it room by room rather than joint and severally. Perhaps compare Bellfields to Park Barn???
ReplyDeleteThanks Glenn for your considered comments, especially regarding the EPC. I assume the EPC should not be out of date but I could always check with the agent on its status.
ReplyDeleteI also wholeheartedly agree with your comment on Bellfields and have therefore featured a number of properties here including a 3 bed house that was extended to accommodate 6 ensuites rented out for £700pcm each i.e.£4,200 for the entire property.Amazing!
An article will be written to compare Park Barn with Bellfields.