Two bed Euston Road - with 4.2% yield, with good capital growth.

Good afternoon folks! Well after a fairly quiet few weeks on the investment front, we are now starting to see a few ‘spring shoots’, which certainly confirms that Spring is here and the investment properties are starting to flourish!

Our first property of the week is in Fitzrovia and it’s a two bedroom property on the Euston Road. Whilst it would appear to be ideal territory for a student let and those ‘tasty’ student yields, for the purpose of this exercise I will look at it on the basis of a standard family let. 

The property is a two bedroom semi, on the market for £715K with KFH. It has just been refurbished, so it’s good to go for the rental market. Such two bed properties will rent out at circa £575 / £600 per week, which will give you a yield of circa 4.2%. Whilst not every investors target figure of +5%, it’s still solid as these properties are in good demand and will rent out easily.

‘So that’s the rent’ I hear you say, ‘but what about the capital growth for the area’. Well, over the past year and five years we start to see some interesting figures. If we look at the whole of Fitzrovia, the past year has seen a growth of 11.2% and the past five 30.2% respectively!!!!!!!

That’s surprised you! Check it out at http://www.rightmove.co.uk/property-for-sale/property-51971564.html and give the agent a call.