Do all Penicuik properties make good buy to let investments?

Put simply, the answer is no!

Today’s Penicuik Property Blog is a wee bit different as it is focusing on a delightful property that will make somebody a lovely home but not a good buy to let investment.  This is with a view to highlighting some the key things needed for a good buy to let investment.

The property is a ‘C' listed extended spacious farm cottage near Howgate south of Penicuik that is spread over 3 levels. The generously proportioned accommodation is flexible in its layout and comprises stunning double height lounge, snug/family room, Minstrel Gallery/diningroom, breakfasting kitchen, master bedroom with en suite, three further bedrooms and bathroom. It has LPG central heating, double glazing, fully enclosed, landscaped gardens and single garage.

The property is on the market with Stuart & Stuart for offers over £395,000.

With my ‘dream house to live in’ hat on I would love this house .... in fact I am about to arrange a viewing .... but, for exactly the same reaons, with my ‘buy to let investors’ hat on, I would not touch this property with a barge pole. Some of the main reasons are:

• The property is in the country – great if you like the country but off putting if you don’t.

• The property is old – this means that it has great character but this is only you like old properties.

• The property accommodation is quirky – great if you like the quirkiness but off putting if you don’t.

• The property has a double height lounge – stunning to some but possible heat drainer to others.

• The property has large gardens – a joy if you are a keen gardener but a milestone if you are not.

• The property has LPG heating – you may put us with the hassle of this as it is part of the package of living in the country but, let’s be honest, it wouldn’t be many people’s first choice.

Overall, it’s a bit of a marmite property – you will either love it or hate it.  This is fine if you are looking to own the property and you love it but if you are looking to rent out a property you need to appeal to as wide an audience of people as possible.

Finally, there is the price.  I have left this one to the end as, even if the numbers did stack up, it wouldn’t be a good buy to let property given the above reasons.  However, the numbers do not stack up either.  Stuart & Stuart are selling it for offers over £395,000.  Rent levels on this property are hard to estimate if given its individual nature but even we push the boat out and go for £1,500/month in rent then that is only a yield of around 4% and on top of this you need to take into account that maintenance costs are likely to be higher for this property given its age.

So, I would love to live in this property but I would not have it as a buy to let

We hope you find our posts useful.  If you want some honest, straight forward, buy to let advice or anything else property related, come and see us in our office (6 Bank Street, Penicuik), call us on 01968 674601 or email either of us (robert@thekeyplace.co.uk; linda@thekeyplace.co.uk).