This unremarkable three bedroom semi-detached house in Cheshunt doesn't seem very special and is in need of modernisation, could Crossrail 2 make it a more attractive investment?
Last weekend I took another trip across the M25 to have a look at this 3 bedroom house in Cheshunt which is up for auction with Savills on 2nd March with a guide price of £275,000.
On paper it's a fairly unremarkable semi-detached, family house on a residential estate in central Cheshunt.
It has a through reception room, small kitchen, two double and one single bedroom, upstairs bathroom and separate toilet.
There's a small front garden, good size back garden and a garage.
The house is in need of modernization throughout but particularly bathroom and kitchen. There's a fair amount of damp although this may well be due to issues with the guttering, and there's a very strong smell of dog but remove the carpets and that will likely disappear. The heating is electric but a gas fire in the reception room shows there is a gas supply, the windows are double glazed and the EPC (7/2015) gives a D rating. The gardens are overgrown and I didn't look inside the garage.
Overall this is a solid family house in what seems a safe family oriented area, but it's still unremarkable so why is it of interest?
Well its the location that interests me.Yes its close to shops and facilities but more importantly its only a five minute walk to Cheshunt Station which is of course the final stop on the planned Crossrail 2 route.
Crossrail 2 will bring better transport links to London which will have a big impact on property prices (just look at what Crossrail has achieved in West London) now of course higher rents won't be achieved until the service is launched in 2030 but you can expect house prices to rise long before that.
So if you're thinking about a long term investment then capital growth with this one could be very attractive.
In the meantime this house would likely achieve a monthly rent of around £1,500, which if sold at the guide price would mean a gross yield of 6.5%. Now I doubt very much it will go for the guide price, at the moment it feels that there are more people than usual looking to pick-up a bargain at auction, so I think something in the region of £320,000 may be more realistic. This would still lead to a gross yield of 5.6% which isn't too bad but don't forget to factor in the costs of the works to bring it up to scratch.
This one could be worth a closer look and I'll be watching to see what happens with it at auction and afterwards.
At Belvoir Lettings Enfield we don’t sell property, we simply use our experience to advise people as to what might make a good buy to let property investment in the Enfield, Haringey and Barnet areas, and how to successfully let their property.