We did some research and found a nice three bedroom semi-detached house on Barley Road for £225,000. We worked out the possible rent for this as £925 per month, which could achieve an annual yield of 4.9%. The properties in this area are quite popular with families and tend to have a great demand with investors and tenants alike, making it a relatively good investment.
A three bedroomed semi-detached town house on Herdwick Road, has a value of £240,000. The possible rent for this property is slightly higher, at £1000 per month, as it is slightly larger than the one on Barley Road. We found that although the rent can be higher, the annual yield was similar at 5%.
This shows that while a property can achieve a higher rents, it does not necessarily mean higher returns.
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