15:10 PM, 5th September 2012, About 11 years ago 15
Steve wants to know from readers of Property118 whether they think, in his circumstances, he should sell his property in an auction.
Steve has very kindly given us permission to publish his email below.
“I have recently inherited a 3 bed semi from my father. The property is in need of modernisation and is in a fairly deprived former mining village in Derbyshire. As my father payed no interest in the property he has never increased the rent and the same tenants have lived there for over 10 years at the same rent (£260 per month!). I have placed the property under the management of a professional lettings agent and they have increase the rent to £320 per month but say they can’t increase it any more for a while.
My question is this. As I see no room for capital growth in this area in the foreseable future and the rent is so low I would like to sell it and wondered if you have any thoughts on the best way to do this.
If I sell at auction would it be better to use a local company ie Graham Penny or is it better to sell at a large auction house in London.
Would it be better to hang on to it for a few years and try to increase the rent to a more realistic level (I am told that the true rent should be around £385 as it stands and around £425 when renovated) in the expectation of realising a better price.
Thank you for your time.