2021-02-25 11:07, User_1
Vesta Property Agent Valuation of this property is £435,000
Description:
This is an investment opportunity to purchase a HMO property in Cullompton generating £39,630 rent pa & gross yield of 9.1%.
Property information
- HMO licence for 6 persons
- Large shared kitchen and dining area
- Bedroom 6 comes with its own kitchen, see picture 12
- Separate large lounge
- Mezzanine level with second lounge/chill-out space, also comes with a sofa and a large corner desk
- Double-sided wood burner between the kitchen and lounge
- Downstairs WC
- Separate laundry room with extra storage space
- Garage with electricity supply
- Private driveway for 2 or 3 cars
- As the property is on the edge of the town there is limited parking available and this property is the only one with a driveway. All nearby neighbours use a local car park and are required to pay £400 per vehicle for a permit. The vendor doesn't charge his tenants for parking, but this could potentially be an option to increase income in future.
- Front garden with space for table and chairs lined with mature conifers
- The property underwent extensive renovation works, see details below
- There is potential to increase the rental income further by converting the large loft and the garage, which already has an electricity supply. All subject to the relevant approvals and planning.
- EPC rating E
Renovation works- Double-height large kitchen extension with mezzanine floor
- The kitchen floor consists of original 200 mm+ flagstone which was newly laid
- Installation of a new central heating system and radiators
- Full electrical rewiring
- Installation of new windows
- New bathrooms
- New front door which allowed space for a separate laundry room
- Installation of fire doors and fire alarms
- The property was re-rendered in lime and also repainted in 2020
Rental information- The tenancy agreements were renewed in July and August 2020 for another 6-months
- 2 tenants have resided at the property for almost 8 years
- The last tenant moved in 18 months ago
- Aggregate rental income pcm: £3,302.40
- Aggregate rental income pa: £39,628.88
Running costsThe vendor provided us with the following running costs of this property:
- Gas & electricity bill: £185 pcm
- Council tax: £154 pcm
- Virgin media (TV, broadband): £25 pcm
- Water bill: £52.50 pcm
- TV licence: £13.20 pcm
- Total cost pcm: £429.70
- Total cost pa: £5,156.40
NotePlease note that Vesta has not visited this property and that all material has been provided by the vendor.
Truth Factor: N/A
