Ex-council Properties in Warrington: Are they good buy-to-let investments?

Over the last few weeks I have had phone calls from southern investors who found my blog through the power of social media.

One of the investors actually started to ask me about the ‘deal of the day’s as he noted that I don’t post about them as much as I used to. He also noticed a lot of the high yielding property I talk about on the blog tend to be ex council houses. This does not mean that the only high yield in Warrington are ex-council houses.

The Numbers

One thing I can honestly tell you is that ex-council properties can achieve annual yields of around 7-9% in Warrington. However, their average value tends to stay quite stable when we compare this to the average capital growth on the more modern estates of Chapleford Village and Kingswood (Westbrook), which have had a more significant rise.

Nevertheless, a three bedroom, semi-detached property on Gerrard Ave sold for £72,500 in 2015. It was sold again earlier this year for £81,000, which is a return of 11.7% in less than 11 months.

 

Another example of good capital growth from an ex-council property is a three bedroom terrace on Lostock Ave which was sold in January of last year for £84,000. It has had an increase in value of around 15% in just over a year – that’s to say, it’s now worth £96,500.

The best performing property for capital growth in 2016 so far was bought in September 2013 for £152,500 and sold recently for £185,000 (Feb 2016). This is a significant return of 21.31%! However, this was not an ex-council property; it was a 4 bedroom semi in Penketh.

If you would like some advice about buying to let, please come and see us at our offices.

If you are interested in seeing these high yielding deals, I am now mostly putting these together in private emails to a list of investors who have asked me to create a list. This list is open to anyone who would like to join and you will receive weekly deals in the Warrington Property Market. If you have already opted in to the list then please email me again as the old list is mixed in with my monthly newsletter list so I would need to identify you and put you in my New Premier Investor List.

You can email me on manoj@hamletwarrington.co.uk as always, our doors are always open. Feel free to pop in to our office at 6 Bankside, Crosfield St. There is plenty of parking available and the kettle is always on.