Returns on Plymouth Student Investment properties remain high
RETURNS ON STUDENT INVESTMENT PROPERTY REMAIN HIGH
As previously state, demand for student properties in Plymouth is incredibly good from investors outside the area. With returns between, 9 % & 10 % it is not surprising many purchasers are diversifying from savings into the housing market.
As a result, prices for good quality student property is increasing for the right property in the right area values are averaging between £40,000 & £45,000 per room.
On average, any pre let property from September 2017 is selling within 3-4 weeks on average.
Supply of suitable properties has of course been restricted over the years, mainly with the introduction of article 4 of the local planning act in September 2012, meaning that either HMO properties need established use (if they have been used solely for this purpose from prior to that date) or require planning consent which is often hard to obtain.
Therefore, demand is certainly outstripping supply.