Nov 2011 Buchan’s buy to let property returns – Peterhead and Fraserburgh rentals.

tenants

Buchan’s buy to let property returns – Peterhead and Fraserburgh rentals.

Peterhead and Fraserburgh north of Aberdeen city offer opportunities yielding a good rental return for the landlords:

One of our clients recently purchased an entry level bedsit property for 20k, – it took only 4 days to rent out this property for £275 per month,- such is the demand for entry level accommodation in Fraserburgh area at the moment.

Although this is a one off impressive example of a rental return to financing & cost to buy ratio we are confident that the two towns can offer good opportunities for property Investor:

Average rents for Peterhead
One bedroom flats up to £425 depending on the area, two beds around £475 up to £575, three bedroom homes from £600 to £675

Average rents for Fraserburgh
One bedroom flats up to £375 depending on the area, two beds around £425 up to £525, three bedroom homes from £575 to £625, – rents tend to be lower than in Peterhead, however the property market is more affordable.

Furnished or Unfurnished?
There is a higher proportion of furnished requirements because most prospective tenants do not have their own furniture, fully furnished properties tend to yield £25 to £50 per month more too, however more executive properties are best unfurnished.

What sort of properties are letting most easily?

At the entry level of market there has been an influx of people looking for one bed or studio apartments that come fully furnished to a decent standard as these properties have lower running costs.

Demand is currently outstripping supply both in Peterhead and Fraserburgh, especially with Landlords reluctant to add to their portfolios due to banks not willing to back up an investor. In our opinion demand for rental accommodation will remain high until next year’s summer when fishing season reduces.

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