A landlord asked me recently if I knew of any good property investment opportunities in Hayle and Penzance, as they couldn’t find anything on Rightmove.
My first suggestion was ‘don’t rely on Rightmove to find those hidden gems’
For many years estate agents had no choice but to use them but now with so many other cheaper alternatives out there and the growth of social media, they don’t need to. Rightmove are eye wateringly expensive and most independent agents just can’t afford their fees anymore. Nor do they need them to sell houses fast, if not faster than some of the larger chains.
So how can you find good property investment opportunities in Hayle and Penzance?
Your first job is to find all the places estate agents advertise. You’ll be amazed at how many agents there are, that you may not have even heard of. A lot of the independent agents don’t have the budgets of the larger chains, so have to get creative with their marketing and advertising. Its these guys you really need to route out, they’ll often know the local market to a granular level and will be a font of useful information.
Where should I look to find all my local estate agents and where they’re advertising?
Google or go onto Yell.com and type in ‘estate agents in Hayle’, or ‘estate agents in Penzance’. Or google ‘properties for sale in Hayle’, or ‘properties for sale in Penzance’. Drive around the town and look for ‘for sale boards’. Check out the local newspapers, including the free ones but remember that print advertising is quite expensive, so not all agents advertise all their properties. Also and often, by the time a paper has gone to print, the property will have been sold anyway. Other places to look are Facebook marketplace, Gumtree, Zoopla and The House Shop.
Who, why and how you should register with estate agents
Once you’ve found all the estate agents in either Hayle or Penzance, register with them. But don’t just sign up to their mailing list on a faceless form. Call and have a proper chat and when this pandemic is over, go and see them. Explain what you’re looking for and be open about your circumstances and budget.
Often, like us letting agents, an estate agent will know of a property that’s coming up at least a couple of weeks before they’re in a position to start advertising it. The pro-active ones will use this time to call any potential buyers on their books. This is how the best properties go so quickly. And when I say ‘best’, I don’t mean the perfectly manicured show homes that are a good 5% over the market price because the owner thinks their purple feature wall will add £10k to the value. Your gold dust opportunities are the raggedy round the edges, reduced accordingly to sell quickly types. These, for a property investor are gold dust.
What else should you do before you start investing in the property market?
Whether you are considering buy to let or property development, you’ll almost certainly need good DIY skills or a team of tradesmen you can call on that can turn a property around quickly. Again, this is where getting to know your local estate agents will really help.
Finally make sure you understand all the latest legislation require and potential tax implications for the sort of investment you intend to make.
Here are a couple of investment opportunities in Hayle and Penzance to whet your appetite
This great little one bedroom flat in a popular area of Hayle, is on with Berwicks. They’re an Independent estate agent and if you’d only been looking on Rightmove, you’d have missed them and this property.
This flat would be a fabulous buy to let opportunity. It would rent out for around £550 pcm, giving you a rental yield of 5.6%.
This 2 bedroom Penzance terrace house has just gone under offer and is on with Whitlocks. Again, if you’d been relying on Rightmove, you’d have missed it!
This might make sense either as a development project, or buy to let and really comes down to how good you are at negotiation. Plus how quickly and cost effectively you could turn it around as an investment. Renovated 2 bedroom terrace houses similar to this one in Penzance are now around £165,000-£175,000.
From a buy to let perspective it would achieve around £750 pcm giving you a 6.4% yield. Although there would be additional costs to get it to a rental standard, so this would also need to be factored in.
If you want to investigate whether a buy to let option would work for you in Hayle or Penzance, then please contact us, we’ll be more than happy to have a chat with you.