The viewing was today. (Not yesterday)
The estate agent took me to one of the neighboring houses also, which was very good. Very nice to see the other house, priced at 50k more to make a direct comparison. The house in the link was quite shoddy. The bad quality pictures hid this fact very well. It is dark and narrow, and with water damage in the bathroom from the loft shower. The layout in the loft was very odd. I guess they had to have a semi wall as otherwise you would not have space to move in front of the sinks. A bit pointless. The reason why it was so cramped, was that the dormer had not been extended to the entire width of the house.
Obviously, the estate agent was keen to sell a house. It was an interesting move on his behalf to show me the other cottage. It was absolutely gorgeous. If I had the money I would have bought it outright. What they have done with the layout was amazing. Open staircase, so you could see from the ground floor to the loft, which added light and space. The first house had the stairs enclosed and walled in, so it was very claustrophobic.
The estate agent had booked me in with a mortgage adviser after. This was even more illuminating. She basically confirmed my suspicions that
a) the house was overpriced for sales
b) the house was overpriced for rent
As a buy to let, as you can not take a domestic mortgage on a tenanted house, we would need to factor in deposit, stamp duty and costs, to the price tag of 145k, on the basis of a 535k sale price. The lender would require a rental yield of between 2300 and 3000 pcm! The only way this house would be a good investment, while still tenanted was if the price was in the region of 450.
And even then, she suspected the lenders valuer would kick up a fuss about the loft bathroom. She also said that taking the market rate into consideration, it was likely that the lender would turn around and say that there is no way that this house should be able to command more than 1500 -1800 pcm.
I am very happy with the advice I got. And this mortgage adviser got herself a new customer in the future!
(The estate agent too!!)