Having only just come onto the Medway property market today, this lovely two-bedroom flat is located a stone’s throw away from Gillingham station and is priced at £120,000. This would make a great investment for a landlord looking for passive income and the potential for good capital growth.
Even with void periods the rental yield comes to 7.84%; that’s a good figure. However this doesn’t factor in service charges, ground rents and lease renewals: so check with the selling agent on these figures. Also, unless you can complete before April, don’t forget to factor in increased Stamp Duty charges.
So what about capital growth? Flats on St James Street, Gillingham have risen by 24% over the last ten years to a current average of £137,746. This is similar to other flats in Medway, but the location less than half a mile from Gillingham station would point towards continued decent capital growth.