Investors paid 17.01p per share in the New Listing for this property, and it became available on the Resale market March 6th 2015.
We believe that Ilford and this property have a compelling investment case underpinned by two factors:
- A Crossrail station is due to open in Ilford in 2018. Crossrail is currently Europe’s largest infrastructure project and JLL, in their report on Crossrail investment opportunities, forecast Ilford to see +41% capital growth from the end of 2014 through to the end of 2020. You can also read more about Crossrail’s Relevance To Property Investing in an article we wrote here.
- This property is notably well-located. It is in the centre of town, within easy walking distance of a shopping centre and 700m from the station. A recent Knight Frank survey concludes that 91% of London tenants want to live within 1km of a transport link: this should be a highly desirable rental property.
Property Partner does not provide advice and nothing in this Overview should be construed as investment or tax advice. The information which appears in this Overview is for general information purposes only and does not constitute specific advice.
Contracts were exchanged on Feb 6th and purchase completed on March 6th2015.
The total rent forecast is £11,400 per annum. After accounting for building service charges payable to the Freeholder for block management, maintenance and insurance of the building, this equates to a Gross Rental Yield of 4.87% and a forecast Dividend Yield of 3.00% (fully accounting for purchase costs, furnishings, remedial cosmetic works, forecast maintenance, annual voids, corporate taxation and all fees). From April 2016 UK taxpayers are entitled to a £5,000 annual dividend allowance. See our FAQs here for more information.
For prudence, we haven’t included any growth in rental values in our forecasts. However, it is worth noting that JLL forecast rental growth of +27.6% from the end of 2014 through to the end of 2020, for the area around Ilford station.
This transaction was approved by our RICS qualified Director of Property.
A one-bedroom flat with a separate living room, kitchen and bathroom.
The flat is on the first floor – traditionally seen as the most desirable floor in a multi-storey block, since the first floor requires very few stairs to be climbed, while safety is better than on the ground floor.
- Share Valuation
- House Price Index
- Rental Income Breakdown
- Latest Valuation
- Latest Share Valuation
- Latest Property Value
- Amortised Purchase Costs
- Deferred Tax
- - £7,539
- Latest Valuation
Note: The estimates provided do not constitute valuation advice; it remains your responsibility to determine valuation.
The HPI is an official statistic that captures changes in the value of residential properties across England and Wales. It is published by the Land Registry, which is a UK government organisation.
Note: Past performance is not a reliable indicator of future results.
Residential property investment is a total returns product. This information is the income component only. Increasing capital values have historically driven most of the return.
- Gross Rent per year (E)
- Service Charges
- - £1,170
- Gross Rental Revenue
- = £10,230
- Gross Rental Yield
- - £3,913
- Letting and Management
- Property Insurance
- Allowance for possible voids
- Maintenance Allowance
- Corporation Tax
- Dividends per year
- = £6,317
- Dividend Yield
Note: UK taxpayers are currently entitled to a £5,000 annual dividend allowance. This means that the total income related tax you pay is no greater than if you were to own the property directly. Gross rent and dividends may be lower than estimated. Tax treatment depends on individual circumstances and may be subject to change in future. See FAQs for more information on taxation. The Dividend Yield assumes an investment at the Latest Valuation.
Flat 6, 3A, Grantham Road, Manor Park, London, E12 5AH,