23rd November 2017
House on edge of Peak District in Manchester auction
A quaint house on the edge of the beautiful Peak District with a tenant already paying healthy rent is in the next SDL Auctions North West auction in Manchester on 12 December.
2 Holly Bank, in the much sought-after High Peak village of Chinley in Derbyshire, is a two bedroomed, mid-terraced house and comes with a *guide price of £105,000 to £110,000.
The property is let under a regulated tenancy for an annual rent of £4,004 per annum, producing a regular yield of nearly four per cent based on the guide price.
Andy Thompson, senior valuer at SDL Auctions North West, said: “This is quite a rare opportunity to own a rural, stone-built property in such a high value area.
“Chinley is right on the edge of the Peak District National Park and offers a wide range of amenities including a train station with regular services into Manchester Piccadilly.”
Mr Thompson explained that a regulated tenancy means the tenant has a right to remain for life at a rent often much less than current rental values for the same kind of property with a more mainstream tenancy in place.
Because of this, the value of a property can be considerably lower – effectively a discount for the restrictions that comes with the property.
He said that a regulated tenancy can often have other benefits – such as a tenant who tends to treat the property as ‘their own’, therefore less likely to pick up the phone to the landlord every time a minor repair is needed.
And once the tenancy ends, he said the property often naturally adjusts in value to that of the market price for similar vacant properties, which can result in a substantial uplift in value.
Mr Thompson added: “All this makes this property an ideal purchase for the astute, long-term investor, and we expect some strong bids on the day.”
The High Peak property will join dozens of other lots in the auction catalogue, including six seaside flats in Morecambe and Fleetwood, and a wide range of tenanted and vacant terraced properties from across the north west.
The auction takes place on Tuesday 12 December at the AJ Bell Stadium in Manchester, and anyone looking to sell should call 0161 774 7333 or email email@example.com for a free auction appraisal.
For details of all the lots entered at the auction so far visit the website at www.sdlauctions.co.uk.