PBSA's - What are the PROs & CONs?

[max-wilkinson]

Hi all,

I am currently prospecting on some 1 bed flats in PBSA. I have done all my costs and from that point of view it makes sense.. but it all seems too good to be true...

My main concern is exit strategy as with all the learning I have done I feel this property will likely not produce much of a capital gain (if at all); especially when compared to residential properties. Am I right to think that? 

I would really like to hear some of your opinions. Perhaps why you would invest in a property such as this, and why you wouldn't.

Any thoughts really appreciated. 

My intention would be to hold this for the long term, on a repayment mortgage (the income is not needed) with the intention of the mortgage being paid off as I enter retirement so that I can then use the rent as an income stream to see me through my later years. What do you think? 

 

Any thoughts will be greatly appreciated.

 

Max