The latest research carried out by One And Only Pro has identified the best places in England and Wales to find a buy to let property for under £65,000.
The site’s unique algorithm identifies the ‘Diamond’ properties most likely to increase in value, which means that even the most inexperienced investors are guaranteed a healthy return whatever their budget.
Darlington takes the top spot where 22% of properties with a price tag under £65k have been awarded Diamond status. The average price of a Diamond property in this market town is £56,468. In second place is Burnley, with 21% of properties within this price bracket achieving the highest score, and the average Diamond property costing just £37,210.
Bootle and Grimsby, where buyers can secure properties with top marks for investment potential for an average price of £53,278 and £56,188 respectively, made third and fourth places. Fifth place went to Bradford with an average Diamond property price of £64,681.
The North East continues to dominate the remainder of the table, with Sunderland, Middlesbrough, South Shields and Hartlepool, securing the next four spots. Keighley, where the average price of a Diamond property is £64,268, took the final place in the top ten.
Henri Sant-Cassia, CEO at One and Only Pro, shares his advice for property buyers with a budget: “When looking for real market bargains, patience is key. In some circumstances, sellers will be looking for a quick sale and much more open to negotiation. In these cases it may be possible to secure a 25% discount.
Empty properties can make perfect buy-to-let investments and there are deals to be made if they aren’t generating an income for the current owner and have become a burden. If the property requires refurbishment, vendors will also need to price competitively to reflect this. Fixer uppers are often portrayed as an instant win but tread carefully here.
These can be time-consuming projects and this will be reflected in the building costs involved. Calculate the additional investment required and know the ceiling price of the property. Arrange a survey to uncover any hidden problems and factor in any further costs that this may incur. Another drawback attached to a fixer upper is that many mortgage companies will not give a mortgage on a property that requires a substantial amount of work and ones without an existing kitchen or bathroom are often deemed inhabitable. In these cases, it may be worth seeking a specialist mortgage or bridging loan to finance any work.
Buyers able to quickly finance a deal could find a bargain at an auction and this is certainly worth exploring when it becomes a buyers’ market.
For any deal, don’t forget to take into consideration the market. External factors, such as Brexit, could help you find a perfect property at the best price. Never feel pressurised to increase your offer if you aren’t comfortable with the figure. Sit tight and wait for another opportunity to arise.
Finally, as the results from our recent study show, always remember location, location, location!”