On my routine search through Rightmove, I came across this charming little studio apartment in Chelmer Village, with the bargain price tag of £95k. I know it’s not the largest of properties, but the yield is great. You would expect to rent this out for £495, which would generate a 6.2% yield!
The thing to bear in mind with this type of property however, is that you may not necessarily get a ‘Long Term’ tenant in here, studio apartments get grown out of quite quickly, so you may need to look for a new tenant every year, which is something you would need to take into account when you are doing your sums. On the flip side though, you will rarely have a void period with this type of property, as demand in this area of the market is always really high.
Food for thought, though isn’t it.
