Jump to content

Investing in Burnley Area


Recommended Posts

Am looking at a first time investment and want to start with a low cost cash purchase to flip, minimise the risk and allow me to see how i go with my first project

I am North West based anyway and seems that the Burnley and surrounding area offers the lowest purchase prices, any advice or recommendations, i will be using trade to the refurb (i'm useless at DIY) so want to be local to oversee the progress and be actively involved without doing the work

Thanks in advance

Link to post

Depends how much you're looking at spending, but you're probably going to be selling to a landlord. That can be a good thing though, as you can renovate, get a tenant and put up for sale. It won't affect the selling price and you'll be getting the rent whilst it sells - probably £85-95/week before costs, so probably around £1000 income on a standard time for a purchase. Considering the property may only be worth £50k, that's not to be sniffed at.

Try and avoid licensing areas, not least as you'd need a licence to rent it out. Avoid areas where lots of the houses are boarded up, as you'll struggle to sell it, although you may have a fight to find a property in a better area that's not overpriced.

I'd also suggest speaking to a letting agent. They can tell you what areas to go for or avoid, sorts of properties that rent best, things to do or not do in those properties.

The one thing I've seen is that two reception rooms is a big draw, presumably as most properties are two up two down, so the extra room creates a bit more space and potentially an additional bedroom.

Link to post
35 minutes ago, dino v said:

Depends how much you're looking at spending, but you're probably going to be selling to a landlord. That can be a good thing though, as you can renovate, get a tenant and put up for sale. It won't affect the selling price and you'll be getting the rent whilst it sells - probably £85-95/week before costs, so probably around £1000 income on a standard time for a purchase. Considering the property may only be worth £50k, that's not to be sniffed at.

Try and avoid licensing areas, not least as you'd need a licence to rent it out. Avoid areas where lots of the houses are boarded up, as you'll struggle to sell it, although you may have a fight to find a property in a better area that's not overpriced.

I'd also suggest speaking to a letting agent. They can tell you what areas to go for or avoid, sorts of properties that rent best, things to do or not do in those properties.

The one thing I've seen is that two reception rooms is a big draw, presumably as most properties are two up two down, so the extra room creates a bit more space and potentially an additional bedroom.

Thanks for your reply, can i just check something with you please

What do you mean by "avoid licensing areas"?

I am presuming this is something to do with the local council

 

 

Link to post

Hi Richard,

Have you attended some of the local landlord forum events? A lot of information is given out and you can speak with some of the many landlords in attendance who will talk to you about their experiences in the areas where they have property.

As has been mentioned, make sure you do your own due diligence on the Burnley area and speak to the local agents to see which areas (in their opinion) work best for your strategy.

If you go to the Burnley council website, they have lots of info regarding the areas that are licensed.

Hope this helps.  

Link to post
18 hours ago, richard al said:

Thanks for your reply, can i just check something with you please

What do you mean by "avoid licensing areas"?

I am presuming this is something to do with the local council

 

 

Yes, certain areas are licensed, meaning you have to have a licence to be a landlord there. Not a big deal, just an extra cost - about £600 for 5 years, I think.

Biggest issue, as I discovered last year when I bought a new property in a licensed area, is that it's the council's licensing which lasts 5 years, not the landlord's. So I had to pay full whack last year for a licence which will run out this summer and if the council decide to have another scheme, I'll have to pay the full whack again! Lesson learned.

If you go on the website, you'll be able to find all about the licensing areas.

Link to post
10 hours ago, tony walsh said:

Hi Richard,

Have you attended some of the local landlord forum events? A lot of information is given out and you can speak with some of the many landlords in attendance who will talk to you about their experiences in the areas where they have property.

As has been mentioned, make sure you do your own due diligence on the Burnley area and speak to the local agents to see which areas (in their opinion) work best for your strategy.

If you go to the Burnley council website, they have lots of info regarding the areas that are licensed.

Hope this helps.  

Thanks Tony

I am going to spend a couple of days going round the local agents and also view a few of the properties so give myself an idea of what you are getting for your money, not rushing into anything and appreciate all advice being offered on here.

 

Link to post
1 hour ago, dino v said:

Yes, certain areas are licensed, meaning you have to have a licence to be a landlord there. Not a big deal, just an extra cost - about £600 for 5 years, I think.

Biggest issue, as I discovered last year when I bought a new property in a licensed area, is that it's the council's licensing which lasts 5 years, not the landlord's. So I had to pay full whack last year for a licence which will run out this summer and if the council decide to have another scheme, I'll have to pay the full whack again! Lesson learned.

If you go on the website, you'll be able to find all about the licensing areas.

Thanks Dino, really appreciate the advice

Link to post
11 hours ago, richard al said:

Thanks Tony

I am going to spend a couple of days going round the local agents and also view a few of the properties so give myself an idea of what you are getting for your money, not rushing into anything and appreciate all advice being offered on here.

 

You are welcome Richard,

If you want a catch up over a coffee anytime when you are in the Burnley area, let me know.  We are in Burnley fairly regularly and live about 20 mins from the town.

Enjoy your weekend

Link to post

Hi Ricard,

Excellent news that you are becoming an investor, congratulations. Sounds like you have a good plan  (and I love a refurb). Where about are you located in the North West if you don’t mind me asking? 
Burnley is a great place to invest and in my opinion currently one of the best places in North. 
What type of property are you looking for? 
 

Link to post
  • 4 weeks later...

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
×
×
  • Create New...