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An attractive residential investment opportunity comprising two semi-detached properties, built by the current owner and offered together with tenants in situ.
The properties currently generate a combined £1,024 per calendar month / £12,288 per annum, providing investors with a gross rental yield of 6.14% at the £200,000 asking price.
With potential rental levels estimated at approximately £725 per calendar month per property, there is scope to increase combined income to £17,400 per annum, delivering a potential gross yield of 8.70%.
Combining existing rental income, freehold ownership and EPC C ratings, the properties offer an opportunity to acquire an established residential investment with identifiable scope for income growth.
Property Highlights
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Two semi-detached residential properties
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Built by the current owner
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Offered together for £200,000
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Freehold tenure
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EPC rating C for both properties
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Tenants in situ
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Current rents of £510 pcm and £514 pcm
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Current combined annual rental income of £12,288
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Current gross rental yield of 6.14%
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Estimated potential rents of £725 pcm per property
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Potential combined annual rental income of £17,400
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Potential gross rental yield of 8.70%
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Established residential location in Ashby, Scunthorpe
Current Rental Income
The two properties are currently let at:
Combined monthly rental income: £1,024
Combined annual rental income: £12,288
Asking price for both properties: £200,000
Current gross rental yield: 6.14%
For an investor, the existing tenancies provide an opportunity to acquire two occupied rental properties with an income stream already in place, subject to verification of the tenancy agreements and payment history.
Rental Growth Potential
Based on the seller’s estimated rental level of approximately £725 pcm per property:
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Two properties at £725 pcm each
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Potential combined monthly rental income: £1,450
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Potential combined annual rental income: £17,400
Potential gross rental yield at £200,000: 8.70%
Compared with the current rents, this represents:
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£426 additional gross rental income per month
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£5,112 additional gross rental income per annum
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A 41.6% increase in gross rental income
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An increase in gross yield from 6.14% to 8.70%
Local advertised rental examples at approximately £725-£750 pcm provide context for the proposed rental level. However, the achievable rent for each property will depend on its accommodation, size, condition and specification and should be confirmed through an independent letting appraisal.
The potential figures illustrate scope for future growth rather than an immediate or guaranteed increase. Any rental changes would be subject to the existing tenancies and applicable legal requirements.
Two Properties Within One Acquisition
One of the investment’s key attractions is the opportunity to acquire two separate homes within a single purchase.
At the combined asking price of £200,000, the purchase equates to £100,000 per property on a simple equal allocation basis. This gives investors a clear basis for assessing the existing income and potential future returns.
Two tenancies also spread rental income across two households, reducing reliance on a single tenancy. The properties’ shared location may make inspections, maintenance visits and ongoing management more convenient.
Built by the current owner and offered with tenants already in occupation, the pair presents an opportunity for an investor seeking to establish or expand a residential portfolio.
Ashby: A Convenient Residential Location
Ashby is an established residential area of Scunthorpe, with shops and everyday services centred around Ashby High Street.
Ashby Community Hub and its library provide further amenities, while the wider Scunthorpe area offers additional shopping, leisure facilities and employment opportunities.
For tenants, access to everyday essentials is an important practical consideration. For investors, this gives the properties a location proposition based on convenience and established local amenities.
Freehold Ownership & EPC C Rating
Both properties are offered as freehold and are reported to have EPC ratings of C.
These features add to the overall investment proposition, alongside the existing tenancies and the opportunity to review rental performance over time.
Buyers should confirm the title arrangements and EPC certificates as part of their normal purchase enquiries.
An Income-Producing Addition to and Investment Portfolio
At an asking price of £200,000, the combination of two semi-detached homes, existing tenants, freehold ownership and EPC C ratings creates an attractive proposition for residential investors.
The current 6.14% gross yield provides an established income basis, while the estimated rental potential offers scope to increase the gross yield to 8.70%, subject to achieving £725 pcm per property.