Monday, 19 September 2016

BUY-TO-LET DEAL OF THE WEEK: 2 bed flat in Chichester, £185,000, 5.2% yield

Conduit Mead Chichester flat

2 bed flat in Chichester
Listed for sale on 14/09/16 @ £185,000
Rent = £800pcm
Last sold for £122,000 in November 2009 (+51.6% in 7 years)
Yield = 5.2%
New to the market this week is this two bedroom first floor flat in Conduit Mead, just behind St Richards Hospital in Chichester.

Whilst I prefer to buy freehold properties, this flat benefits from having a private garden and it's own entrance - so it has more of a 'house' feel than most flats. I also expect the service charges and ground rent to be quite low due to the age of the property (it is the shinier apartment blocks built this millennium that seem to have £1,000 a year costs attached to them as standard).

It is in excellent condition, with a nearly-new kitchen and bathroom as well as a neutral decor throughout the property. It is ready to rent from day one for around £800pcm, which would provide a 5.2% yield based on paying the full asking price of £185,000.

The only couple of negatives would be the lack of gas central heating, having electric heating instead, and the price. Now, on the face of it in today's market the price seems fairly reasonable. My issue is that it is over 50% more than the current owner paid in 2009 (albeit it has been refurbished throughout since then). More telling though is the same vendor tried to sell it in November 2012 for £134,950...and couldn't....and tried again in April 2015 for £165,000....and couldn't.

Those facts show perhaps it's not the most desirable of apartments and so could suffer more in any market downturn than the average property. Adding £20,000 (12%) to the price in 18 months also doesn't sit too well with me (although the kitchen has been changed in this time). I think it will be third time lucky with this vendor trying to sell, so if it appeals to you I'd go take a look pronto (last week's buy-to-let deal of the week was sold within 48 hours!).

It is on the market with Bell and Blake and full details can be found on Rightmove via the following link:


If you are looking for an agent that is well-establishedprofessional and communicative in Chichester, then contact us to find out how we can get the best out of your investment property.

E-mail me on or call 01243 624 599.

Don't forget to visit the links below to view my previous buy-to-let deals and Chichester Property News articles:

c/o CRJ Lettings, 30B Southgate, Chichester, West Sussex, PO19 1DP

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