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Investment opportunities – why choose the student property market?

Investment opportunities don’t come much better than the property market and in particular, the student property market.

With the current state of the economy, the banking crisis and low interest rates, traditional saving and investment methods are a lot less lucrative than they were, even just a few years ago.  The property investment market however offers an alternative, and more secure, high yielding pension fund or saving pot.  And if geared up as an HMO (House in Multiple Occupancy), popular in the student market, the investment opportunities are even greater.

At Mistoria Group we specialise in sourcing investment property in popular student areas, with the aim of fully renovating them into HMO’s for our investors.  These 3, 4 , 5 or even 6 bedroomed investment opportunites, with communal areas fitted out to high specifications can net an investor an average of 10% ROI.

A real example of an investment deal currently available with Mistoria Group can be seen below:

PURCHASE PRICE  £130,000
Including chattels
GROSS RENTAL INCOME  £17,680
NET RENTAL INCOME  £12,376
Less management, utilities and voids
ROI (Return On Investment)  9.52%

 

 

 

 

This is a 4 bedroomed property, let-out for 48 weeks of the year (in keeping with academic term) with each student paying £90 per week.  As you can see the annual interest or income rate is worth 9.52%, 3x the amount a decent ISA pays and cash wise more than a basic cash ISA allows you to save in a year.

If this has got you thinking and you want to know more about the investment opportunities that property from Mistoris Group offers, call us today on 0800 500 3015.

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