Friday, 28 February 2014

2 Bedroom Ground Floor Flat (7.3% Gross Yield)

We manage a number of similar flats in this area and it will be possible to achieve 7.3% Gross Yield with this 2 bedroom flat in Carley Hill

Sunderland Property Blog

It will need a little improvement (decoration, flooring and a new kitchen) but even allowing a generous £5,000 on top of the £59,950 asking price will return the above based on £395pcm rent

Call us on 0191 567 8577 or email for more information

Thursday, 27 February 2014

'Needs Work' 2 Bed Semi in Redhouse (6.75% Gross Yield)

One of our loyal investors only looks to the Redhouse area of Sunderland when looking to expand his portfolio and not without good reason - properties can often be picked up for less than elsewhere in Sunderland and they tend to attract working families that will stay put


Sunderland Property Blog This 2 bedroom semi needs work - complete redecoration and new flooring throughout and the lack of kichen and bathroom photos should set alarm bells ringing, but even so, allowing a generous £15k on top of the £65,000 asking price will deliver a decent 6.75% Gross Yield based on a conservative £450pcm (£475 may even be achievable)

Call us on 0191 567 8577 or email for more information

Three Bedroom Semi in Popular Farringdon (6.6% Gross Yield)

Farringdon is popular area which attracts decent long term tenants and houses with 3 bedroom are always better than 2 bedrooms

This 3 bedroom semi needs a little work but it will still deliver 6.6% Gross Yield based on a total investment of £90k (£84,950 + £5,000 for improvements) and £495pcm rent


For more information call us on 0191 567 8577 or email

Wednesday, 26 February 2014

Bargain 1 Bedroom Flat in Downhill (Potential for +10% Gross Yield)

This 1 bedroom ground floor flat in Downhill needs work but even budgeting a generous £5k on top of the £35k asking price, it will deliver 10.5% Gross Yield based on £350pcm rent

Sunderland Property Blog

It requires redecoration and new flooring in some rooms along with new appliances

We let and manage several similar properties nearby and at this price they are popular with a range of working tenants

Call us on 0191 567 8577 or email for more information

Tuesday, 25 February 2014

Three Bedroom Terrace Close to Stadium of Light Metro (7.4% Gross Yield)

This 3 bedroom terrace is in good internal condition with 2 reception rooms, 3 first floor bedrooms, a decent kitchen and off street parking

Sunderland Property Blog

Similar properties on this street have been advertised for £550pcm but even based on a more conservative £495pcm it will deliver 7.4% Gross Yield based on the asking price of £79,950

For more information please call us on 0191 567 8577 or email 

Monday, 24 February 2014

Sunderland Property - Is It A Good Time To Buy Or A Good Time To Sell?

Now that we’ve been posting our recommendations on investment properties for some time I occasionally get approached by our current landlords looking for our help in offloading their properties in this way

I’m happy to help, but explain that to appeal to our investor audience the property must stack up as an investment, typically returning a Gross Yield of at least 6.5%

In the case of investors simply wishing to cash in one of their assets this is often achievable - if the property was purchased based on sound investment advice at the time it’s likely to be of interest now as it was then

Unfortunately more often than not it’s the ‘Reluctant Landlords’ who approach us, having heard that the sales market is showing signs of recovery and more often than not their property will not deliver the returns to make it of interest to an investor

If you listen to the news or read certain articles in the press you’d assume that as the sales market picks up and more properties come onto the market they will all be snapped up by investors waiting in the wings but it just doesn’t work like that – the investors are likely to be looking for very different properties in different areas to those being offered by Reluctant Landlords

As an example, using a couple of very different properties that are very close to each other, a typical (and admittedly very rentable) ‘Reluctant Landlord’ 3 bed semi-detached property in Sevenoaks Drive, Hastings Hill (SR4) will achieve £550 - 595pcm but with an average sale price of £150,000 will only return at best 4.7% Gross Yield

Compare that to something that will appeal to an investor less than half a mile down the road in Grindon; a 2 bed ex-council property will achieve £450 - £495pcm but based on an average sale price of £85,000 will deliver a much healthier 6.4% – 6.9% Gross Yield

When I tell the Reluctant Landlords that they’d need to accept nearer to £100k - £110k for their Hastings Hill property to appeal to an investor they often decide either stick to the rental market or to look at selling to owner occupiers instead!

Of course as many ‘Reluctant Landlords’ have actually had a positive experience of renting out their property in recent years, some are happy to sell up and use the funds released to purchase one or more ‘true’ investment properties

If you’d like free, independent advice on buying to let or property investment in Sunderland call 0191 567 8577 or email

'Ready to Let' 2 Bedroom Terraced House (7.9% Gross Yield)

This 2 bedroom terraced 'cottage' is located close to Sunderland Royal Hospital and should get good interest from a range of tenants

Sunderland Property Blog

Any investor buying it would need no further outlay as it's 'ready to let' and given it will realistically achieve at least £450pcm that represents a healthy Gross Yield of 7.9%
Call us on 0191 567 8577 or email for more information

Friday, 14 February 2014

First Floor Moorside Flat (6.5% Gross Yield)

This first floor 2 bedroom Moorside flat is Brand New to the market today so with no internal pictures it may need further investigation over coming days

Sunderland Property Blog

That said at £83,000 it just about stacks up as an investment - I would advise hard negotiation to bring the price in at under £80k

Given it has electric heating you'd be looking at around £450pcm rent & based on the asking price this would deliver an acceptable 6.5% Gross Yield

Similar Moorside flats with gas central heating are more popular and can command upto £495pcm (so any negotiated reduction could be used to fund installation of gas central heating) which would deliver higher returns

For more information call 0191 567 8577 or email to discuss

Modern Apartment in SR2 (Potential for 7.9% Gross Yield)...Worth a Look!

We featured a similar apartment in this block in January and this one, which is new to the market today, is also worthy of consideration

Sunderland Property Blog
We've rented an apartment here at £495pcm in recent months so based on the £75k asking price it will deliver 7.9% Gross Yield - I would factor in a little extra for decoration & new carpets but £2,000 should do it

You should base your purchase decision on the likely yield but given this sold at the 2007 peak for £115,000 there is clearly scope for capital growth once the sales market picks up & prices rally


For more information please call 0191 567 8577 or email 

Wednesday, 12 February 2014

Don't Be Scared of Investing in SR5!

I get calls from investors on a daily basis, both local landlords renting out property in Sunderland and those from further afield looking to invest in the area.


More often than not, local investors seem more inclined to look only to the areas they know and seem reluctant to break out of their comfort zone (which is typically the SR2, SR3 and SR4 postcodes).

This means they are missing out on great investments, which ironically are often snapped up by investors from out of the area who aren’t constrained by preconceived ideas and have a much more open mind.

This is never more apparent than when I mention areas in the SR5 postcode area in the north of Sunderland.

Sunderland Property Blog
It’s true that parts of SR5 (particularly Castletown and Southwick) have had their social problems in the past and have a reputation for attracting only benefit claimant tenants but we would rarely promote properties in these areas (and if we did would only highlight properties which we could 100% guarantee would attract a working tenant).

I often highlight 2 or 3 bedroom properties in SR5 postcode in areas such as Downhill, Town End Farm and Redhouse (which are not “problem areas”) which would attract working tenants & families who often look to stay in a property long term due to having a close family support network nearby.

It’s possible to pick up properties in the above areas for a better price than in comparable properties south of the river, making them worthwhile investments and making it possible for landlords to expand their portfolios for less.

As an example, the average price of a 2 bedroom semi in Redhouse was £69,939 last year which would return a Gross Yield of 7.7% based on an achievable rent of £450pcm. The average price for a comparable property in Farringdon (SR3) or Grindon (SR4) was £75,608 & £87,696 respectively. Whilst the purchase price may be higher, the achievable rent may be a little higher in Grindon or Farringdon (£475 - £495pcm), returning healthy 6.5% - 7.8% Gross Yields.

Whilst the above areas would be chosen for their ability to deliver healthy yields they would not be the areas where an investor should automatically expect to make significant capital growth. That said, it’s worth noting that in all three areas prices are currently 15% - 20% down on 2007/2008 peak levels, suggesting that when the market does improve, there is room for some capital growth.

Regular readers will know we rarely promote flats in or around the City Centre or Ashbrooke but do suggest that the 1960’s & 70’s built two bedroom flats in Moorside (SR3) can make good investments. The average sale price of a Moorside flat is £78,505 and with rents ranging from £450 - £495pcm Gross Yields of 6.8% - 7.6% can be made. A comparable 2 bedroom flat in Downhill costs on average £59,850 and will return 7.9% Gross Yield based on a conservative achievable rent of £395pcm.

So clearly the above areas are worth considering based on the returns.

What’s more, given competition for tenants is often more fierce in the more established rental areas of SR2, SR3 & SR4 due to a greater supply of properties, landlords who are prepared to look further afield can find that they find it easier to pick up good tenants and therefore have less of a risk of their properties remaining empty.

If you’d like to discuss purchasing a property to let in the SR5 area or elsewhere in Sunderland or for an impartial, objective discussion about Buy to Let in general please call 0191 567 8577 or email 

Saturday, 8 February 2014

Another Auction Bargain? 3 Bedroom End of Terrace (+10% Gross Yield?)

This three bedroom end terrace is being sold by auction later this month with a guide price of £54,950

Sunderland Property Blog

It should achieve £495pcm so based on the guide price will achieve a fantastic 10.8% Gross Yield 

If it gets interest and sells at the £77,500 that a similar property sold for in 2013 (the most recent sale on this street) it will still deliver a respectable 7.7% Gross Yield

Internal pictures are limited so do your due dilligence and view before bidding but it could be worth a look, even if it needs work

For more information call us on 0191 567 8577 or email

Friday, 7 February 2014

Three Bedroom Semi in Popular Town End Farm (7.4% Gross Yield)

Three bedroom properties are in short supply in Sunderland so this one, being in good condition, will be popular with tenants

Sunderland Property Blog

All it needs is a lick of paint to neutralise the striking colours in some rooms and it will be 'ready to let'

It's priced at £80,000 so based on a very achievable £495pcm will return 7.4% Gross Yield

Call us on 0191 567 8577 or email for more information

Three Bedroom End Terrace (SR5) 7.7% Gross Yield

This 3 bedroom end terrace in SR5 needs decoration and new flooring but even factoring this in, at £64,950 it could make a good investment

Allowing £5k for improvements it will still deliver 7.7% Gross Yield based on a conservative £450pcm rent

Call us on 0191 567 8577 or email for more information

Thursday, 6 February 2014

Ugly Two Bedroom End Terrace - Possible Auction Bargain (+7% Gross Yield)

We highlighted this 2 bedroom end of terrace house back in October 2013 when it was on the market for £69,950

Sunderland Property Blog
Since then it hasn't got any prettier but as it is now being auctioned later this month with a guide price of £49,950 it could make an even better investment!

As before we'd suggest £450 is achievable, so would deliver a very attractive 10.8% Gross Yield based on the guide price or if it gets bids and sells at the £70k mark it would still deliver 7.7% Gross Yield 


Give us a call on 0191 567 8577 or email for more information