A little renovation work for Spennymoor investors

There's a fee new properties appeared on Rightmove over the last week, which is unusual for this time of the year. One that caught my eye for investors is this one on Thorn Close-

THORN CLOSE, MIDDLESTONE MOOR, SPENNYMOOR DISTRICT

http://www.rightmove.co.uk/property-for-sale/property-29708559.html

It's a 2 bed terrace on the market for £39,950. Although I disagree wholeheartedly with pricing strategies like this (whole numbers work perfectly with property portals - go for £40,000) the property is appealing at this price.

From the property description and the internal photos, it looks as though the property needs some freshening up, but on first internet inspection it looks like it's not major structural works.

These 2 bedroom terraced houses always have a reasonable rental demand. I think it would rent for between £350 and £400 per month. Based on the asking price, this would bring in a gross rental yield of between 10.5% and 12%, which is a good rental return for any investor.

Taking into account the potential of renovation, and the time this takes then there is a buffer in potential return to absorb this.

Have a look!