Friday, 5 September 2014

Cottesmore Green Investment 5.8% yield

I saw this little property come on the market with Astons, these are not the biggest 1 bedroom maisonettes you’ll find in Crawley but they are really popular as rental properties.  Located in Cottesmore Green they have easy access to FastWay for Gatwick Airport & great links to the M23 motorway.

Cottesmore Green is on the western edge of Crawley and makes an easy commute for tenants that work in Horsham as well as Gatwick.  Being further out they need to be priced under the rates achieved in the town centre and I would suggest a rental valuation of £675 per month would get the phones ringing off the hook, especially as 1 bedroom flats in the centre of Crawley are now advertised at £800 per month.  At £675 it would realise a yield of 5.8% on the current marketing price and would have tenants queuing, giving the landlord the luxury of moving someone straight in with no void period.  

The verdant Buchan Country Park & lake is just across the road for tenants that like woodland walks.  I don’t know if the lakes & trees would be a big enough selling point but if we found a tenant that would pay a higher rent of £695 a month & the purchase price was haggled down to £137,500 we could increase the yield to over 6%.

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