Property Ref: 5350 .
A well-established Freehold investment property that produces over £44,000 per year in rental income, located in the centre of Chard, Somerset (TA20) - immediately opposite the main Tesco and Lidl supermarkets, so very central to high rental demand in this thriving town.
This investment comprises 6 freehold houses - 1 x 3 bedroom, 4 x 2 bedroom and 1 x 1 bedroom (new-build) all fully let with rental income as follows:
3 bedroom house - £745 pcm
2 bedroom house - £590 pcm
2 bedroom house - £595 PCM
2 bedroom house - £595 PCM
2 bedroom house - £595 pcm
1 bedroom house (new-build) - £550 pcm...
Total rental income: £3,670 per month (£44,040 per year) with scope for significant rental uplifts and capital growth. The current income represents an income yield in excess of 6.6% per annum which is considered an excellent yield for un-split Freehold houses in such a strong-demand area. Each property is securely let on an AST tenancy agreement with full deposits held with the DPS which will be transferred to the new owners' DPS account upon completion.
There is scope for a significant six-figure gain by breaking up these houses and selling them individually. We have sought valuations from two local estate agents who have confirmed that there is excellent potential for substantial uplift for anyone who might seek to sell these properties individually.
These properties all have very generous room sizes. A full schedule of individual room measurements has been compiled by the seller and can be provided on request together with any additional information you may require.
This property investment qualifies for a much lower rate of Stamp Duty (due to being 6 units, a commercial rate is charged). By way of example, Stamp Duty at our quoted price for 5 units or less would be £43,200 whereas 6 units or more qualifies for a commercial rate (which does not incur the additional 3% charge) which would be £22,750 (irrespective of the amount of other properties you may currently own) - giving a very significant saving over the normal residential property charge of over £20,000 (the Stamp Duty payable on this transaction is actually £500 less than you would pay if you purchased your own personal home for the same price!)
Chard is a thriving town with strong local employment and demand for rental property is therefore very high. The convenient and central location of these properties has helped to maintain a 100% occupancy rate with no vacant periods since the current owner first started renting these properties in 2015. The current owner has not changed the rental rates significantly over the last 5 years which gives clear scope for uplift.
Very low maintenance. Easy to run. Many of the tenants are well-settled/long-term. There are no agents involved in the lettings (all let by owner/landlord directly) so this investment provides a very high net profit.
All properties have been recently refurbished and have Worcester/Bosch combination boilers/gas central heating (with balance of manufacturers warranty remaining). Each property has 2 x allocated parking spaces apart from the 1 bedroom house (which was newly built in 2017) which has one parking space.
Conveyed with very good EPC ratings with B-C graded energy efficiency with current certificates valid to June 2025. All Gas Safety certificates are also current/passed as per current regulations.
Search "High View Mews Chard" on-line to view a very comprehensive video presentation of these properties.
Genuine sale due to retirement/consolidation, this investment opportunity will provide the next owner with a solid and consistent income from day one. Viewings available by prior arrangement. Please call to enquire......
For viewing arrangement, please use 99home online viewing system.
If calling, please quote reference: 5350
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MONEY LAUNDERING REGULATIONS: Intending purchasers will be asked to produce identification documentation at a later stage and we would ask for your co-operation in order that there will be no delay in agreeing on the sale.
General: While we endeavor to make our sales particulars fair, accurate and reliable, they are only a general guide to the property and, accordingly, if there is any point which is of particular importance to you, please contact 99ome and we will be pleased to check the position for you, especially if you are contemplating traveling some distance to view the property.
Measurements: These approximate room sizes are only intended as general guidance. You must verify the dimensions carefully before ordering any household goods, carpets or any built-in furniture.
Services: Please note we have not tested the services or any of the equipment or appliances in this property, accordingly we strongly advise prospective buyers or tenant to commission their own survey or service reports before finalizing their offer to purchase.
Disclaimer: 99home is the seller's agent for this property. Your conveyancer is legally responsible for ensuring any purchase agreement fully protects your position. We make detailed enquiries of the seller to ensure the information provided is as accurate as possible.
Please inform us if you become aware of any information being inaccurate.