Over the next 3 years around 7 Million has been commited by One NorthEast to the regional image strategy. A strategy that ultimately aims to further boost the region's ecenomic development by building the self confidence of the people in the region while attracting investors, skilled individuals and companies.
Ecenomic growth currently exceeds London and the South East, boasting five universities, two major ports, two international airports and a population of over 2.5 million, the benefits of the North East are obvious.
Over the past decade, we all know that house prices across Britain have been in the grip of massive inflation. According to one major property index, the average house price has soared to around £200,000. This inflation has not had full impact within the North East, it still stands as one of the areas where property investment still "stacks up", rental income more than covers the cost of mortgage repayments
Historically the North East has a very strong rental culture and tenants tend to remain in rental property for longer.
The North East is attracting a growing population which means housing supply is outstanding demand. The overall rental market in the North East is extremely bouyant with a continuous need for affordable housing.
A 2 bedroom terrace purchased for £70,000
would need a deposit of 15% which is £10500
the mortgage would be £269 and the rent would be £375 this give you a gross yield of 6.4%
and a gross return on investment of £1274 per year
A 3 bedroom terrace purchased for £85,000
would need a deposit of 15% which is £12750
the mortgage would be £326 and the rent
would be £433 this would give you a gross yield
of 6.1% and a gross return on investment
of £1279 per year
A 3 bedroom semi detached property purchased for £90,000
would need a deposit of 15% which is £13500
the mortgage would be £345 and the rent would be £450
this would give you a gross yield of 6.0%
and a gross return on investment of £1256 per year
A 3 bedroom off plan semi detached property was purchased
for £135,000 with a £15000 discount secured. Leaving a discounted purchase price of £!20,000
this property would need a deposit of 15% which is £18000
the mortgage would be £459 and the rent would be £600
this would give a gross return on investment of £1695 per year
For more information on North East Investments call us on 08444152650
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