Ampthill Road or Althorpe Street .Which is the best investment?
I was talking to somebody last week from the North side of Bedford , who was considering becoming a landlord for the first time. He visited our office to ask us whether buying a property on Ampthill Road or Althorpe Street would make a better Buy to Let investment, and which would offer a better return/yield. He knew the area well, as he lived around there over ten years ago. I confirmed that the properties on both streets let and sell well, but I wanted to do a bit more research to help with his choice…
The average price for a property on Ampthill Road has been £171,644; while on Althorpe Street considerably less at £131,211 . To better understand the investment opportunities available, we took a look at the rents achieved over the last year. The average rent achieved for a 2 bed house on Ampthill Road was £650 pcm giving a yield/return of 4.5%. On Althorpe Street the average rent was higher , at £675 pcm, with a corresponding yield/return of 6.1%. We found both streets to be as good as each other, but as you can see there is quite a difference in the yields/returns for Althorpe Street, which we would not have identified without the extra investigation. In this case it really comes down to the best available property to buy on the day.
If you are a landlord, whether you deal with us or not, feel free to visit into our office on Tavistock Street to ask our opinion on which property investment is best for you.