Monopoly in Warrington... How would you play?

A couple of local landlords and I had a discussion about the property market in Warrington, when the subject of risk against returns arose.

All landlords are different in the way they play the property game. Some landlords prefer to accept a modest yield/return on their investment for an increased certainty of finding a quality tenant. Other landlords are interested in high returns, with a greater risk with regards to the quality of the tenant. Before you start playing, it is a good idea to have a game plan. For a low risk investment, you could buy property in the newly developed areas of Warrington which are perceived as being more desirable, such as Sankey Bridges or Walton Locks, where you may be able to achieve an annual yield of around 6-7%.

If you don't mind a slightly higher risk of void periods or a more varied quality of tenant, you are likely to be rewarded with a higher annual yield of 7-10%. This level of risk can be typically taken with areas such as Fox Street (whitecross), Longshaw Street (bewsey) or Hume Street (Warrington town).

If you are after annual yields of 12% or over, you could take more of a risk with houses of multiple occupancy such as in the student areas of Fearnhead or for that matter properties Wilderspool Causway.

If you would like some advice about buying to let, whether you are a landlord with an existing portfolio or someone thinking of investing in the Warrington rental market for the first time, please email me on tpatel@hamlethomesproperty.co.uk  or pop into our office on 6 bankside, crosfield street. Free parking available outside the office.