Friday, 15 May 2015

'Full Refub' 3 Bedroom Terrace in Sought After Fulwell (6% Gross Yield With Capital Growth Potential)

This three bedroom terrace in Fulwell needs a full refurbishment throughout but once completed it will be popular and offers a balance of a fair Yield with the potential for Capital Growth (Fulwell is one of the areas in Sunderland which outperforms the City for Capital Growth)


It's priced at £100,000 which reflects the condition - there have been 6 sales on this street in the last 3 years and it's evident there have been 'Needs work' bargains (priced at £87k and £90k, both in 2013) alongside properties in a much better condition (the others have ranged from £115k to £145k with the average price of the better ones being £131,000

Realistically I'd budget on £20k to sort out the decoration, flooring and fit a new kitchen and bathroom (given the property will appeal to families, having the current walk-in shower with no bath won't do)

Adding this to the £100,000 asking price and basing the rental income on £595pcm (to achieve this the standard of the refurb will need to be better than the basic 'rental standard') it will return 6% Gross Yield

Admittedly this isn't the best Yield you can get in Sunderland but this needs to be balanced with the potential for Capital Growth, as Fulwell experienced an 8% increase in Sold Prices last year, double the rate of growth in Sunderland as a whole

Click here for details www.onthemarket.com/details/1526708

Call me on 0191 567 8577 or email neil.whitfield@belvoirlettings.com if you want to chat about this or any aspect of property investment in Sunderland

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