anybody know Nottingham? where to BTL?

[user1467297746]

Its not far from where I am moving to and looking to do a BTL

is it better to get a flat or a terrace house?

any areas to avoid?

[Tbowyer]

One thing with students, this is normally done as a HMO (house of multiple occupancy) to do this requires a licence and Nottingham city council will not issue any more licences in certain areas, so if the property doesn't come with this licence (and I doubt in your price range it would in lenton) you may find yourself not able to tap in to the student market.

[ZaraW]

Sherwood is also worth a look.

[janethegirl2]

Lenton/ Dunkirk area is reasonably priced IMO and there are lots of students and Qmc staff looking to rent in this area. Ok facilities with several pubs, small shops and a decent sized tescos express, sainsburys local and full sized sainsburys in the area.

[specialsubject]

Gas test annually.
Electrical test not mandated except in hmo ( check)
Hmo regs for your target market.
Insurance - buildings, contents, malicious damage, legal expenses, rent guarantee. For all tenants.

[user1467297746]

I expect we would have to decorate to some extent after every tenant?

If it was lower end of the market then we should just go with a basic and easily touched up paint job..

Not sure whether carpet is a better idea compared to wooden laminate floor? laminate could be longer lasting but if damaged might be more expensive to replace?

I guess there are costs for testing of electrical / gas every 2 years? ( need to check that one )

odd plumbing call out I expect?

Insurance required.

I will have to search for threads on HB

[lottiegarbanzo]

Well, two doer-uppers on that budget is very possible.

Understanding the type of tenant you can expect will help inform your calculations of costs e.g. are you ever likely to have to evict someone? What condition might your properties be left in? There's no right answer to that - but there's an average answer based on probabilities.

Yes, HB can be a massive pain (see many other threads here) but it depends what you expect, are prepared to deal with and your margins on the relevant properties.

Issues with HB include payment in arrears, inability of tenants to pay a deposit (so no personal financial stake in good care), possibility of erratic payment, even suspension of payments if an investigation occurs - all issues with the system.

[Toddlerteaplease]

Lenton is a great place to live. Radford is very rundown. And rough in parts.

[user1467297746]

yes its totally a business. we are expecting a return on our investment and see this as a long tern 'job' ie property management.

Is HB a big pain? where can I get more support or information on this?

[user1467297746]

wondering if we should try and get 2 cheaper places?

that might do 2 things. firstly would give a more consistent income stream? ie unlikely both places vacant at same time

if we spent say 150 k on one place looks like we'd only get say 600 ish a month

but if we could get 2 places for say 75 k each and redecorate etc by selves we could maybe get a higher income in the long run?

[lottiegarbanzo]

Finally, my advice to anyone setting up in BTL would be treat it as a business. Do your research, get your systems in place. Present yourself to potential tenants and behave accordingly. Be pleasant, be efficient, make sure you understand everyone's rights, responsibilities and what you'll do when x, y, z goes wrong. But, your tenants are not your friends.

[lottiegarbanzo]

If I were you I'd talk to a few big letting and estate agents. Talk through where you could look, as a tenant of type and budget x, then y, then z. You wouldn't be wasting their time as a potential buyer.

[lottiegarbanzo]

Big employers: Boots, Experian, Capital One, HMRC, two universities, QMC and City Hospitals. Law firms and all sorts in town.

[PurpleDaisies]

Bombardier just won a new billion pound contract so I can't immediately see them going under...

[lottiegarbanzo]

I've been a landlord in Nottingham and elsewhere. Knowing what the market is in your rental neighbourhood is absolutely essential.

130-150k will give you a good choice. You can get 3-4 beds in Sneinton for a lot less than that, for example. But, are you prepared to accept tenants on HB? It's a totally different game from renting to professionals, both are different from students sharing. You'll get young working people sharing and families there, not all will be using HB but, it's not a neighbourhood that affords you a lot of pickiness if you want to maintain occupancy.

Beeston is prime student / young lecturer territory. (IME post-grads / staff, age 25-40 are usually good - reliable, communicative - tenants). You could buy something small there.

Lenton for student house shares. Near QMC for uni and hospital staff.

You could try asking on Mumsnet's local Nottingham site too, for local detail and experience.

[user1467297746]

I do worry about Brexit effect tho. My Brother works for Bombardier and my half brother in law for RR

both of which might be affected perhaps should the UK be pushed aside with the EU situation. Lots of EU interaction for both of those industries?

Whats Nottinghams strength?

I saw some places for sale in Burton on Trent also not too far from our new home.

[user1467297746]

Thanks! Lenton is showing promise!

Think I just saw somewhere perfect!

I wished our main residence was purchased else I would go for it.

Think we need to wait - unless we accidentally complete on the BTL first - that would be very expensive on the Stamp Duty!!!

[PurpleDaisies]

Derby has rolls Royce, Toyoya, Bombardier, the university...

It's the second best city in the country for house prices conpared to average earnings,

[user1467297746]

Dont know too much about being a landlord to be honest. altho I expect to have to look after the place and maintain it,

I sort of get the feeling that Nottingham is stronger than Derby economically?

Really want to get a place that consistently rents out.

I suppose a freehold is better than leasehold in the long run?

[ZaraW]

Queens Road and DerbyRoad in Beeston are popular with students you would easily buy something with your budget.

[user1467297746]

I was originally born in Bulwell - but we moved all around the Notts area when I was growing up. Eastwood Gedling Kimberly Netherfield.. Arnold etc

I'm not too familiar with Beeston really, altho my Nan was always saying alround Beeston to get to Bulwell.

Is Chilwell too far out?

[PurpleDaisies]

Derby is really cheap to buy. You could buy a very nice two bedroom semi outright for £130k with a bit of change depending on where you're looking.

You really need to make a proper plan first and decide who you're aiming at.

Do you know anything about being a landlord?

[user1467297746]

well potentially we have around 130 to 150 k in cash

Since we are both unemployed ( I am near to finishing a freelance contract now ) at the minute we are considering getting a place that needs doing up the DIY route perhaps.

Its early in the process, but we could consider other cities? Leicester and Derby arent far either.

If we could get 2 BTL it would be brilliant, since freelance work can be spotty.