A grateful landlord was buying me coffee in Contini in George Street yesterday when he asked my thoughts on this Edinburgh property as he thought it had good development potential.
This property is 2 bed flat in traditional tenement block in Upper Grove Street. Upper Grove Street is very central being just off Morrison Street.
This apartment has a large lounge, a separate kitchen, 2 double bedrooms and bathroom. The property needs some work done to it but not a full refurbishment. It needs work to the kitchen, bathroom as well as re-decorating and re-flooring throughout which I would reckon could cost you around £15,000.
Turning to the financials.
The asking price for this property, which is on the market with Westgate is offers over £115,000 so let’s say it goes for £130,000.
Adding in the cost of the works mentioned above gets you to a spend of £145,000.
Based on our recent experience of renting this type of properties in this area, a rent of £900 pcm should be achievable on this property. So that gets you to a yield of 7.4% which is really good so a traditional property of this type in Central Edinburgh.