The property that you buy and the tenants that you aim to attract will be driven by your underlying reason for entering into Buy to Let. There are two ways that you can seek to make a return on your investment: capital growth and rental income. Most people are looking for a combination of these, but it’s likely that your underlying reasons for investing mean you will place more focus on one or the other.
Your rental income* depends on factors like the size, condition and location of your property. The quickest way to get an idea of your property’s potential income is to contact a local estate agent for an estimate, just as you would if you were selling a house. As for capital growth, the term is commonly used to describe the change in property value over time. Just like with all property purchase decisions, you need to have calculated your likely incomings and outgoings.
Remember that whatever you earn in income will have to cover maintenance, repairs, management fees, any mortgage payments on the property and empty periods in between tenants.