Do two-bed flats on Twickenham Road make good investments for Buy to Let?

I was talking to someone who lives in one of those 1930’s 3 bed detached houses on Twickenham Road between The Wharf restaurant and the mini-roundabout on the way into Twickenham. That part of Twickenham road is primarily split between blocks of one and two bed flats and 3 or 4 bed semi-detached and detached houses. Research shows that most landlords like to buy their investment properties in an area they know and love which is usually within 5 miles of where they live. This landlord though was looking even close to home as he was interested in a two bed flat on his own road! He’d noticed my previous articles on property investing in Teddington and so asked my opinion on how good an investment they are and whether he should take the plunge. So, we looked into the figures…

Firstly, we found that of the 345 houses and flats on Twickenham Road, 213 of them have sold and changed hands since 1999 (some up to 5 times!), so obviously a good place to buy and sell. The average value of properties on Twickenham Road is £763,128 compared to the average across the whole of Teddington which is £731,308. So, an above-average performer.

Property values in Teddington have risen on average by around 328% over the last 14 years, but most flats on Twickenham Road have beaten that rise, rising on average by 364%. For example, a high spec two bedroom flat in Regatta House, the block next door to The Wharf, rose by 383%, from £199,950 in 1997 to £766,690 in 2013 – and this is one of many.

With excellent capital growth you would expect yields to be comparatively lower. Most two bedroom properties on the road can be picked up anywhere from £500,000 to £700,000 depending on the size and spec and could have achievable rents of £1700 per month. This means annual yields are around an average 4%. S, put simply, the answer to the question is 'yes'!

Now here's today's picture that brought a smile to my face....!

Rebecca Smith

http://www.rebeccasmithpropertyservices.co.uk/