Great opportunity for 10% return in the auction!

http://www.rightmove.co.uk/property-for-sale/property-58767844.html

This property on Lucas Street in Woodhouse is a great opportunity for anyone looking for 'a project' and to add immediate value to a property.

It's currently a 4 bed vacant student property, but has easy potential for my favourite way of adding value - convert the basement to add an extra 2 bedrooms.  It's on for a guide price of £145,000 in the auction, and the sale method is by 'modern method of auction' which basically means you've got 28 days in which to arrange your finance and exchange contracts, as opposed to the traditional method where you've got 28 days to complete.

Once refurbished, then as long as it's to a high standard, you should be able to get £85 per person per week, or £26,520 per annum - we manage to achieve this on many of our Woodhouse properties now as the area becomes increasingly more popular to students.  With a potential refurb cost of around £60,000, then as long as you can secure a purchase under £200,000 then you're looking at over 10% yield on your investment.  In the current Leeds student market where 8% yield is becoming the norm when purchasing, I'm sure you'll agree that's a sound investment.

Another chance to add bedrooms and get a 10% yield in Woodhouse!

http://www.rightmove.co.uk/property-for-sale/property-58420552.html

This 4 bed property on the market with Castlehill, is another re-development opportunity in the increasingly popular Woodhouse area of student Leeds.

When I first started in student accommodation 7 years ago, Woodhouse didn't have the best of reputations.  But as many of the outlying halls of residence have been shut down over recent years, to be replaced with city centre or on campus halls, students are increasingly looking at Woodhouse as the place to spend their second and third years.  Having spent their first year being close to Uni, and the bars and clubs of Leeds, many of them are looking for second and third year accommodation as close in as possible, and Woodhouse obviously ticks that very important box.

And as landlords are being forced to look for bargains elsewhere as 7% to 8% yields are becoming the norm in Hyde Park and central Headingley, more and more properties are being snapped up around the University and in Woodhouse for cheaper prices than they would be able to find in the more traditionally popular areas.  Many of these properties are then being refurbished to a very high standard and rents of between £85 and £100 per person per week are becoming commonplace.  This gives the opportunity for some fantastic yields.

We manage a few properties on Delph Mount and the adjacent Cliff Mount, and they lend themselves very well to being 6 bed properties.  In this particular house, the cellar has already been dug out and converted to living accommodation, so would easily be transformed into two bedrooms and a bathroom.  

The layout of the rest of the house is fine, with the only addition required for a Jack and Jill bathroom on the top floor.  It needs a complete refurb - new everything, strip the walls and re-plaster throughout etc, but that should be achievable for around £60,000. 

All the bedroom sizes would be great, and if the refurb was done to the right standard I'd be confident of getting £89 per person per week, or an annual rent of £27,768.  So if you were to pay the asking price you'd be looking at a very healthy yield of around 10%.