Petersfield Rental Yields: A Good Investment?

There are many things to consider when buying to let and it is essential that all investors and landlords undertake a level of research before purchasing property. Even landlords who are investing in a local area or an area they know well should carry out due diligence on a property, an area and on their finances.

With this in mind, there are a number of factors that would suggest Petersfield is a good investment. This may be a market town in East Hampshire, with a population around the 15,000 level, but it has plenty to offer. With a train connection to Portsmouth, which lies 17 miles away, and being located on the Portsmouth Direct Line which connects to London, it is easy to see Petersfield as an area that will be attractive to commuters.

The average value of property in Petersfield, as of September 2017, stands at £507,965 and the average price paid for property in the past 12 months stands at £474,490. In the past six months, the average price paid for property in Petersfield stands at £454,637. This should ensure that there is good value to be found.

Consider the rental yield when considering a property investment

Of course, when looking to determine whether an area represents good value and is a sound investment, a buyer cannot just consider the price. The expected rental yield is important and in the GU31 postcode area of Petersfield, there is an expected rental yield of 4.76% for a one bedroom property. For a two bedroom property in this part of Petersfield, the expected rental yield stands at 4.443% and a three bedroom property will offer a yield of 3.72%. There is an expected rental yield of 3.13% for a four bedroom property and a five bedroom property provides an expected rental yield of 4.43%.

In the GU32 postcode area of Petersfield, there is an expected rental yield of 5.3% for a one bedroom property while a two bedroom property offers an expected rental yield of 4.27%. There is a 2.94% return for a three bedroom property, a 4.02% expected rental yield for a four bedroom property and there is a 2.90% expected rental yield for a five bedroom property in the GU32 postcode area.

The cost of property impacts on expected rental yield

The stand-out properties in Petersfield with respect to expected rental yields would be a one bedroom property in both of the postcode areas. This can be seen as a reflection of the cost of this style of property, which should be more affordable than larger homes. The cost of a property has a big impact on the overall yield an investor should expect, so this stands to reason.

Given that Petersfield has a lot to offer tenants, which should ensure there is a good level of demand for rental accommodation, and that there are affordable property options with an appealing return, it is fair to say that Petersfield is worth considering as a good investment area.

Thinking of buying a property as an investment then please contact us.

 

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