Bexley Borough Property News

One of our landlords asked if they should buy a 3 or 2 bed semi detached property to rent out to tenants. The average asking price of a 3 bed semi in Bexley is £373,000 today compared to £303,700 for a 2 bed semi. The 3 bed semi achieves an average rental price of £1,430 per month compared to £1,150 per month for a two bed semi. That’s a yield of 4.5% for the 2 bed against 4.6% for the 3 bed. So they are very similar but you might find that a 3 bed semi is slightly easier to rent out (less void periods) and will be easier to sell in the future. What about capital growth? According to the Halifax Price Index, Bexley has seen an increase in property values of 51.97% between 2009 and 2014. This means that, in 2009, the average price of a 3 bedroom semi would have been £245,440 and the 2 bed semi £199,840. Therefore, the initial extra investment of £45,600 for the 3 bed semi, gives you an extra £23,000 in capital growth and let’s not forget, that according to recent figures, you...

A landlord, who has owned a few properties on and around Bourne Road for the last 15 years or so, came in to our office to discuss the rise and fall of property prices on the street and how this has affected her yield over the years. In 1999, when she purchased her first property near Bourne Road, the average value of a terraced house on the street was £92,900 which had a sharp rise to £177,500 by 2005. This rise in value continued, with average values being £244,900 in 2007, which some would regard as the height of the property boom. Currently the average value of a terraced property on Bourne Road is around £284,400 which shows good recovery from the property market dip, post 2007. When she told me of the rents she had achieved on her properties, they seem to be performing well over the last decade. In 2004 the average rent was £775 per month and is now between £1,150 and £1,300, dependant on the property’s accommodation. Therefore, a landlord could expect an annual yield of...

Here's a property for those of you who want to start seeing returns on your investment without having the need to wait around for refurbishment works to be completed. It's a recently refurbished 2 bed flat on Eversley Avenue, Barnehurst and it also benefits from it's own private garden. With a potential rent of £900pcm you would be looking at a healthy yield of 6% and as it's in good order, with it's own private garden, it should be a very easy one to let. Jennings & Kent in Erith are the agents dealing with the sale. Here are the details on Rigtmove:  http://www.rightmove.co.uk/property-for-sale/property-47754655.html