Thursday, 17 July 2014

House values in Holder Road, Maidenbower rose by £355 a week

I was discussing the property market with one of my landlords who had purchased a property in Holder Road, Maidenbower in 2006 before the big crash.  It came up because a neighbouring house has come on the market this week at a price 34% higher than her investment.  In actual pounds - £64,000 higher, not bad considering the value dropped substantially in the years following the purchase.  The recovery has been long and the headline increase is only recent, figures from the internet tools show the value of property in Holder Road has risen by an average of £355 a week but only in the last 12 months. 

As a rental agent I’m interested in the investment potential & whether the property will pay its way.  I checked the records since 2006, 4 tenancies, a rent increase on each and a total void period of 21 days in 8 years.  The rental yield started at 5.4% in 2006 and the current marketed price has dropped the yield to just less than 5% but with a 34% capital appreciation & negligible voids the house is still to be considered as a solid investment.  I am pleased for my landlord, she bought a great house that has always had great tenants and proved to be a great investment.     

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