Fern Grove in Spennymoor would give a decent rental return

One property that has come to market in Spennymoor over the lady week is this 2 bedroom house on Fern Grove, which has gone on the market for £72,500-

Fern Grove, Spennymoor, Durham

http://www.rightmove.co.uk/property-for-sale/property-49518983.html

You'll have to forgive the estate agent for going over-the-top in their description of this one. Look at the following sentence from the description-

"Conveniently located for local schools and bus routes the property in our opinion would suit a variety of purchasers including the first time buyer and this lovely home must be viewed to be appreciated."

And that's all one sentence!

Putting this aside, it's in a good location, close to South View, and the bus route. The property has been refurbished in the standard manner of low-cost fitted kitchen and magnolia walls.  This will probably bode well as the current owner will most likely have put right any potential traits as part of the refurbishment.

I know that many landlords would rather do the renovation work themselves than pay a premium for someone else to carry it out, but there's still some mileage left in this property.

I'd expect a rental return of between £425 and £450 per month for this property.  This would bring a gross annual return of between 7% and 7.4%, based on the asking price. This is reasonable, compared to the standard accepted return of 6%.

Go and have a look!