A comparison of annual yield and returns of properties in Southsea shows that they are less than those in Stamshaw.
A comparison of annual yield and returns of properties in Southsea shows that they are less than those in Stamshaw. The average price of a property in Stamshaw is £123,300, whilst in Southsea it is £154,800. The last few months have seen average rents in Stamshaw to be around £695 per month compared to £750 per month in Southsea. This means that buying a property in Stamshaw would produce an annual yield and return of 6.7% compared to 5.8% for properties in Southsea.
This, however, is a great example of annual yield and return not being the only factors to consider when choosing an investment property. The average time it takes to find a tenant in Stamshaw can be up to five weeks, whereas in Southsea a tenant is usually found in two weeks. If you take into account the extra three weeks of void periods and loss of rent for your property, this will also affect the annual overall return.
It is in your interest to buy a property that will rent well, and for long periods of time. If you would like any advice on choosing properties, come and visit the team at Belvoir Portsmouth.
Please call 023 9273 5863. Alternatively, please email me directly at email@example.com