With such a high level of demand for rental property across the country, landlords and investors are continually looking for areas that will provide them with a good return. Glastonbury may not be the first location an investor thinks of when looking for a new area to buy property in, but there are a number of reasons why Glastonbury may be the property location of interest to landlords and investors.
It is always good to get as much information about the property market as possible and different specialists or data sources will likely have their own figures for the market. These figures can be viewed alongside each other to get a general feel for the market.
Get as much information as you can about Glastonbury property market
Data for the Glastonbury property market can vary wildly from source to source. The most realistic dataset shows that as of the end of May 2017, the average price paid for property in Glastonbury stood at £278,956; which represents an increase of 7.19% in the past 12 months. This is in line with what I would expect and gives a slightly higher return than the national average. The same source states that the average value of property in Glastonbury, as of the end of May 2017, stood at £296,985.
Consider Glastonbury rental yields
Of course, while property prices are important, landlords and investors should also be looking at the rental yield. An affordable property with a very poor rental yield would be less appealing than a more expensive property with a very attractive expected yield. In Glastonbury, landlords and investors should consider the expected rental yields for the BA6 postcode area.
A one bedroom property in this area should return a yield of 4.75% while a two bedroom property should provide an expected rental yield of 4.4%. A three bedroom property provides an expected rental yield of 3.23% in the BA6 postcode area while a four bedroom property offers an expected rental yield of 3.2%. There is an expected rental yield of 4.19% for five bedroom property areas in the BA6 area.
Clearly some of these yields are more attractive than others. Given that one bedroom properties are likely to be cheaper and have a higher rental yield, it is only natural that landlords and investors will consider this style of property for the Glastonbury market but it is important to look at the bigger picture. Given the nature of the local area, there is likely to be a higher demand for larger properties to house families. This means some investors or landlords will consider a larger property, with a smaller expected rental yield, to be a more suitable option as there is likely to be a higher level of demand.
There are many things to consider when looking to enter the buy to let market and the nature and style of Glastonbury will have an impact on the decision an investor makes as much as the stated figures and expected yields.
Some investors get too caught up on numbers and expected returns, especially in areas like Glastonbury where less tangible factors will impact on the overall demand and benefits, so make sure you fully consider what you are getting into. However, investors and landlords should find that the Glastonbury market is an appealing one.
About Tom Morgan
Founder of Jungle Property the multi award-winning letting agent based in Glastonbury, Somerset. I am passionate about property and Glastonbury and about providing the very best advice to anyone who wants the best return on a buy-to-let property investment. For an open and brutally honest opinion on anything in the Glastonbury property market please contact me via tom.morgan@jungleproperty.co.uk
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