Investments Cardiff
This section is designed for people looking to invest in property in Cardiff. Under this section we will examine ground rents, service charges and complete blocks of flats for sale. New homes, developments and commercial properties are covered in their respective sections.
Completed Developments
Small to medium sized developments are often sold as complete investments for sale, which offer the chance for an investor to own a completed block of flats or a selection of houses. This has the advantage of reducing maintenance and simplifying management of tenancies. Often the freehold is sold with the development, but this does vary and is worth checking. The development can be sold off-plan or once completed. If you're looking to invest in an individual new-build home or apartment then please see here.
Houses of Multiple Occupation (HMO's) & Student Investments
HMO's offer investors a chance to own larger properties let out to a group of sharers, either students or professionals. Many HMO's will require a licence to operate which ensures a suitable amount of amenities and safety. HMO's can offer a good rate of return for investors in Cardiff, but need to be managed properly to ensure long term viability. CPS Homes have produced information on HMO's in Cardiff here. HMO's can be purchased with or without licences in place already, which can affect the saleability of the investment especially if selling to relatively inexperienced investors. The fees for a 'transfer' of HMO licences have recently been reduced from £500 to £200 which gives further value to pre-licensed properties.
With over a decade of experience in the student market, and with four branches throughout Cardiff, CPS Homes are extremely well placed to advise you on where to buy, and with an every changing student market, making the correct purchase is vital to your investment. CPS Homes have produced a landlord information page.
Ground Rents & Service Charges
Ground rents offer an opportunity for an investor and are often overlooked in their value. By owning the freehold of the property you own the right to collect the service charges and ground rents. It's always worth examining the obligations of the freeholder, for example, whose responsibility is it to insure the building etc. There may also be an opportunity to collect extra fees upon transfer of leases and upon serving notices, but it does depend on the lease documents created.