Monday, 3 February 2020

BUY-TO-LET DEAL OF THE WEEK: 2 bed house in Chichester, £245,000, 4.4% yield

2 bed house, Caernarvon Road, Chichester
kitchenlounge
Summary:
2 bed house in Chichester
Listed for sale on 22/01/20 @ £245,000
Rent = £895pcm
Yield = 4.4%


This is a typical starter home on the Arundel Park estate in Chichester - a two bedroom end terrace house that's in decent condition, having been decorated and carpeted throughout and having a relatively modern bathroom and kitchen.

At £245,000 I wouldn't say it's cheap, but it's fair value and represents the limited supply of houses at this end of the market (it's actually the cheapest freehold house in Chichester currently for sale). A few similar houses around it have been sold for slightly less in the past year, but you can't argue when there's nothing comparable available that is cheaper!

Some of these houses come with a garage, which is certainly a bonus and can add both resale value and rental value to the property. The details don't make it clear whether there is a garage and/or parking available with the house, so assuming there isn't I'd factor in a rental of £895pcm. Whilst that isn't overly cheap, again it doesn't need to be such is the short supply of two-bedroom houses in Chichester. Even so, this would equate to a 4.4% rental return based on that full asking price, so is a pretty average return for the area.

Fundamentally these are solid houses that should appreciate in value in line with the rest of Chichester's property market and can often be further buoyed up due to the lack of supply of such modestly priced starter homes. They lack the additional bathroom or cloakroom that newer builds benefit from, but otherwise have a similar footprint, double glazing and gas central heating. This particular house also has a good garden which offers potential to extend (although from a house price point of view, doing so probably won't make sense).

The property is on the market with Sims Williams and full details can be found on Rightmove via the following link:
https://www.rightmove.co.uk/property-for-sale/property-76942552.html


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 clive@crjlettings.co.uk 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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