Property Sourcing

Investing in Leeds Residential Property

Leeds is well known as a BTL Investor hotspot. Even more so now that Leeds was awarded the UK’s highest yielding area, especially the young professional areas of Burley, Headingley, Hyde Park, Meanwood and Woodhouse, with a whopping average gross yields in excess of 10.7% (Source: Totally Money)

Many investors who originate from the South and South East of England are investing in property in Leeds to gain maximum rental yields that are almost impossible to be found in the South of England.

Who our Property Sourcing service is for

As an investor, you may be looking to invest in residential property in Leeds, but do not live in Leeds and therefore you are unsure exactly which areas to invest in, what size of property, and what standards you must provide to maximise your rental returns.

You may be starting out as a Landlord / Investor and need some guidance, or you may be an experienced investor, but short of time, or require a hands off approach to building your residential investment portfolio.

We can source a range of properties depending on the investment strategy. Some of the investment opportunities may be pre-packaged and pre-let with minimum fuss, some properties may be empty, and some may need a full refurbishment. In any case, Let Leeds would be on hand to provide a full 360 service from lettings and management all the way through to HMO licencing and project managing a refurbishment.

Our Property Sourcing service includes:

  • One to one consultation over the phone or face to face in our office to understand you and your requirements
  • Help create a property investment strategy discussing criteria such as yields, risk profile, exit strategy, timescales, diversification
  • Provide you with local expertise in relation to the professional, student and HMO property rental market to match your investment criteria
  • Ascertain the types of property you wish to invest in and create a clear understanding of the budget, area, size, tenant type, capital investment required
  • Search ongoing for properties which match your investment criteria on and off the open market, and provide you links to potential investments
  • Conduct viewings on your behalf as and when required
  • Create a plan to include any necessary refurbishment costs, HMO considerations and guides on expected rental returns
  • Negotiate the deal with the agent or seller on your behalf
  • Provide assistance and guidance during the sale progression where required
  • Key holding / collection service on completion
  • Full 360 degree property service to bring the property to the rental market including project managing refurbishments, HMO licencing applications, listing the property for let

Please note we cannot provide Tax, Pension or Financial advice in relation to your property investments and strategy.

Our Property Sourcing fee

On instruction we will ask you to sign a property sourcing agreement, as well as providing personal details and ID for Anti-Money Laundering purposes as well as proof of funds and proof of mortgage in principle if applicable.

The fee will depend on whether the property is sourced 'Off' or 'On' market as the two are quite different levels of service. 'Off' market sourcing depends on our own network within the property industry to find deals that never make it to the public domain, whereas 'On' market deals tend to be utilising our local knowledge and lettings expertise.

OFF MARKET Property Sourcing

Our 'Off' market property sourcing relies on our network of current landlords, investors, developers and local agents. We can source a range of properties depending on the investment strategy, be it a professional rental, a HMO or student let. Some investment opportunities may be pre-let creating minimum fuss for you as an investor.

Others may take a bit more consideration, and there may be more risk attached. Careful consideration must be given to seasonal letting periods, Article 4, and cost of refurbishment. Let Leeds will always provide honest advice as well as expert lettings advice.

Once we fully understand your property purchase criteria, our 'Off' market property sourcing service generally covers;

  • Search ongoing for properties which match your investment criteria on and off the open market, and provide you links to potential investments
  • Conduct viewings on your behalf, directly with the owner, via the tenants or via a local agent. Then negotiate a deal with the agent or seller on your behalf
  • Create a plan to include any necessary refurbishment costs, HMO considerations and guides on expected rental returns
  • Provide assistance and guidance during the sale progression where required
  • Key holding / collection service on completion, then get the property ready for either let/full or light refurbishment

Our charge will be £2500+vat (Total £3000) on each property we source for you. 50% is payable upfront on finding a property that suits your requirements, as and when an offer has been agreed. The final 50% of our invoice is provided to the solicitor dealing with the sale to settle the invoice on completion.

We offer 3 months free management at the beginning of the management contract once we take over management of the investment property.

Our ongoing charges for letting and managing your property range from 10% to 15% depending on your service requirements.

If you would like us to provide a property sourcing service for you, please call our Sales and Student Team on 0113 322 9324 and ask for Annabel or Laura.

ON MARKET Property Sourcing

The 'On' market property sourcing relies on our local lettings expertise and our local area knowledge.

With our 'On' market property sourcing, we would be your local property expert, conducting viewings on your behalf with local agents across the whole of the market to identify properties which meet your investment criteria.

The 'On' market property sourcing service generally covers;

  • An ongoing, rigorous search for properties, matching your investment criteria on the open market
  • We will periodically as and when properties are listed, send you links to potential investments, if you are happy with any of the opportunities we present, we will then arrange direct with the selling agent to view the property on your behalf
  • We will then feedback our thoughts, based on rental returns, furniture and any refurbishment costs required, and whether there are any risk factors to consider including building issues, rental or location issues or any article 4 and HMO regulations
  • Once you are happy, we can liaise with you and the selling agent to negotiate an offer to purchase, and advise on terms of the sale
  • We provide assistance and guidance during the sale progression where required
  • On completion we offer a key holding and collection service, and then arrange to ensure the property is ready to let

Our charge will be £1250+vat (Total £1500) on each property we source for you. Our invoice is provided to your solicitors dealing with the sale to settle the invoice on completion. We offer 3 months free management at the beginning of the management contract once we take over management of the investment property.

Of course, if you purchase a property via our own sales department, which is listed ‘On’ the market there will be no fee, as we would have agreed a fee with the seller.

Our ongoing charges for letting and managing your property range from 10% to 15% depending on your service requirements.

If you would like us to provide a property sourcing service for you, please call our Sales and Student Team on 0113 322 9324 and ask for Annabel or Laura.

Your property sourcing criteria

To understand fully your investment criteria we will book a consultation, either in our office over a coffee, or over the phone or Skype. The type of things you should consider prior to the consultation are:

Typically you would have a budget of anywhere between £100,000 up to £1m, but in most cases a typical budget of circa £250,000 would open up lots of avenues for your investment.

You may prefer 1 large HMO or a couple of small professional rentals, or you may like to build up a portfolio of 10 or more properties and diversify.

We would need to see a mortgage in principle and proof of funds prior to conducting viewings on your behalf.

When are you looking to invest, and how frequently will you be investing. Sometimes patience is important, and sometimes you may find better deals at certain times of the year.

Typically we have success at finding properties with a yield of 7% in the Professional and Family rental markets, 8% to 9% for professional joint rentals, say 3 professional renters (this is classed as a small HMO), and yields of 10% in the Student HMO market where we tend to let on a joint tenancy agreement, and the biggest yields of between 10% and 12% on room by room single tenancies young professional HMO's.

For example you may be looking for long term capital appreciation and looking to hold your investments in a property until retirement, or you may have a shorter term requirement to provide a few years positive cashflow on a shorter term investment. Alternatively you may be looking for a short term property you can refurbish, relet and flip.

Do you have any preference as to what type of tenants you will be renting the property to? Are you keen on the professional or family markets, or would you prefer the higher return student market? Or a mix of all markets to diversify the risk.

The area you invest in will have a bearing on the amount you invest and the yield you get out of it. Higher yielding cheaper areas such as Armley, Bramley due to the lower value of properties. Whereas the higher value of properties in professional areas such as the City Centre, Headingley, Meanwood, Pudsey will create a lower yield in the main. Young professional HMO roomshares can be located in lots of areas including Bramley, Headingley and Burley. Finally you can pick up some lovely family rentals in Horsforth, Roundhay, Yeadon, Guiseley, Pudsey, but you will pay a higher price and the yield will be much lower.

Again this depends on your target demographic but you may want to consider at this point how many bedrooms, bathrooms you are looking for, the style of the house, and whether you would out flats and apartments.

If you would like us to provide a property sourcing service for you, please call our Sales and Student Team on 0113 322 9324 and ask for Annabel or Laura.

Quick Search

Lettings






Latest News

Let your property
with an award winning
dedicated letting agent

Choose Let Leeds the
award winning property specialists

Students
Affiliate Logos

Copyright © Let-Leeds 2017, All Rights Reserved | Site Map | Terms | Privacy


Website design by ina4.com  Website design - ina4.com