Terrible time with council tenant and shock at how law treats landlords15:32 PM, 9th January 2019
About A week ago 40
Hi there everyone,
Total newbie to the forum and website having previously only browsed over a few topics and now I am in a position to start my projects I have become a member – great website!
So I need some advice and opinions. I have two options available to me and I am looking at the pro’s and con’s of each. I would like to start investing some money – maybe BTL’s or standard investments or likely a bit of both.
My first option is to stay in my current family home and start buying BTL’s in Surrey near to Gatwick airport where I know that rentals are strong and easy to come by but don’t have massive yields – I’d expect c6.5%-7%. I can afford to purchase £1m of BTL with my current 25% deposit and purchase costs. This seems like a logical step
I have the chance to purchase an old lodge with 3 attached cottages in 4 acres. This is very much a picture box house, a lifestyle purchase and each BTL dwelling has a small section of garden. Currently the cottages/mews houses are rented on AST’s and whilst the yield is less at 5%, it’s a significant purchase but the numbers stack up and I know that the rental will be strong due to the location – Pilots and business professionals currently rent them.
My question is a simple one really – having never had any experience of renting properties or being a landlord is this a bonkers way to start?
I would still have enough to purchase another BTL property but I may hold off on this purchase to stagger my investments.
As you can probably imagine I am really keen on the second option partly because it would never be a house I could afford in normal circumstances and due to the current structure of the title and so on it seems good value.
Is renting properties that close a terrible ideal in general?
Comment away – Ta
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