Monday, 12 August 2019

BUY-TO-LET DEAL OF THE WEEK: 2 bed flat in Chichester, £265,000, 4.3% yield

2 bed flat, Spitalfield Lane, Chichester, West Sussex
2 bed flat in Chichester
Listed for sale on 28/11/18 @ £265,000
Rent = £950pcm
Yield = 4.3%

Last sold for £145,995 in 2004 (+82% in 15 years)

Following on from my latest article about the benefits of ground floor flats (in certain circumstances) it made sense to scour the market to find an example for you.

That search brought me to this two-bedroom ground floor flat in Chichester, which benefits from its own entrance, private garden and allocated parking i.e. many of the amenities people associate with houses rather than flats. It also comes with a share of the freehold and a long lease, meaning ground rent / service charges / lease extensions should be far less of an issue than with a 'normal' flat.

The flat itself is very well presented and has two double bedrooms, a modern kitchen, living room leading out on to that private garden and shower room. Other than a set of stairs, it really does have all the accommodation offered from a house.

It should therefore rent for around £950pcm, which would provide a relatively low rental return (for a flat) of 4.3%. The issue here is that a two-bedroom 'flat' in this location sounds expensive at that price and many people might not give it a chance because of this - especially if, at this price range, they are set on a house (or have filtered out the flats in the search tool).

I think this is also why it's struggled to sell for so long; it's been on since last November (and hasn't had any price reductions, so I wouldn't want to be paying the £265,000 asking price).

As a follow-on from the article then, it seems that ground floor flats with their own entrance, parking and garden can make for a great property....but because of people's pre-conceptions and prejudices about living in a flat vs a house, it can be hard to justify the true value of such a property.

The property is on the market with Hamptons 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

Chichester rental valuation

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