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Letting agents Nottingham release Investor Spotlight on The Park

By | 2019-03-12T15:33:04+00:00 June 10th, 2016|Market Insights|1 Comment

Letting agents Nottingham, Slater & Brandley, have created a series of ‘Investor Spotlight’ articles specifically aimed to provide professional landlords with ‘off-market’ information on rental yields, capital growth, tenant demographics and property investment best practice. These articles are based on 20+ years of first hand Nottingham property experience.

Profits out of The Park?

The Park Estate – with it’s grandeur and architecture – remains one of Nottingham’s most sought after residential property spots, but how does it shape up for investors in Nottingham and are there profits to be made through rental property in this area?

A private housing estate set within walking distance of the City Centre and amidst the backdrop of the prestigious Nottingham Castle, The Park Estate was originally built on the former deer park of the Castle under controversial circumstances in the 1820s. Victorian architecture dominates the landscape with many of the large buildings since having been converted into flats, albeit under strict planning regulations to ensure conformity with neighbouring property and the area as a whole. An aura of heritage and preservation remains strong throughout the area and The Park is believed to still have one of the largest gas street lighting networks in Europe.

Letting agents Nottingham

Victorian architecture blended with an original gas street lighting network proves popular with Tenants in The Park.

But how do things shape up for property investors? As letting agents Nottingham we know a fair deal about this.

Last year most property sales in The Park involved flats which sold on average for £212,157. Detached properties sold for an average price of £485,333, while terraced properties fetched £352,050 (Source: Rightmove). These are the highest figures we’ve seen so far in our series of investor spotlight articles.

An overall house price of £268,618 was more expensive than nearby Lenton (£149,877), Meadows (£130,315) and Nottingham City Centre (£168,754) and for good reason too – there isn’t anywhere quite like The Park in the rest of the City.

During the last year, sold house prices in The Park were 11% up on the previous year and 3% down on 2009 when the average house price was £275,772.

An overall average rental figure of £1,016 as reported by home.co.uk would provide an average gross yield of 4.53% for the area. This isn’t bad at all when taking into account capital growth prospects and the ever increasing level of tenant demand throughout the estate itself. You’re sure to find tenants quickly provided you market at the correct figure. Investors looking for a greater yield could look into letting property on a shared basis via the use of HMO properties (Houses in Multiple Occupation).

HMO Properties

Executive homes and a tight-knit community spirit continue to drive high standards throughout the area.

But what kind of tenant can you expect?

In our experience as letting agents Nottingham, the Park Estate remains extremely popular with highly paid working tenants including doctors, dentists and solicitors. It’s not unusual to find applicants moving from other parts of the country for an initial ‘test’ run of the area prior to buying locally, although we have seen many such ‘test runs’ end up in very long term tenancies!

Groups of City working young professionals also seem drawn to the area and we regularly find that two bedroom flats can be a very popular option in these cases, bearing in mind that any more than two unrelated people sharing a property falls into certain ‘HMO’ territory and brings with it a number of requirements that many landlords and agents remains oblivious to. For more detailed information regarding letting HMO properties in Nottingham contact our HMO management team.

In summary, it’s easy to see why investors with deeper pockets would choose to place money in this part of Nottingham; an eclectic environment with good capital growth, high quality tenants and relatively exciting yield figures proves that there really is an opportunity to do well out of an area that many investors would cast doubt over.

Are you thinking of investing in Nottingham? Would you like some advice on a potential purchase? Do your current letting agents really understand your investment goals? If you think you could be missing a trick, give me a call to talk in more detail on 0115 981 9651 or pop into our office on Loughborough Road for a chat.

Letting agents in Nottingham
Will Brandley MARLA
Partner

 
 Disclaimer: The Information above is not intended to be and does not constitute financial advice or any other advice, is general in nature and not specific to you. Before using this information to make an investment decision, you should seek the advice of a qualified and regulated professional and undertake your own due diligence. None of the information above is intended as investment advice, as an offer or solicitation of an offer to buy or sell, or as a recommendation, endorsement, or sponsorship of any individual, Company, or fund. The Company is not responsible for any investment decision made by you. You are responsible for your own investment research and investment decisions. Copyright © 2016 letting agents in Nottingham, Slater & Brandley, All rights reserved. You are receiving this email because you gave us your contact details during a recent discussion. If you’d rather not receive any further emails, please click the ‘Unsubscribe’ link below.

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