Page 26 - June 2023

EXPERT ADVICE EXPERT ADVICE

The best property postcodes for
How does porting a Edinburgh investors
mortgage work?
Using the latest rental data from Citylets and house price information
Paul Demarco, Independent Mortgage from ESPC, Head of ESPC Lettings Nicky Lloyd shares some of the best
Adviser at ESPC Mortgages, discusses areas for buy-to-let property investment in Edinburgh.
how to take your mortgage with you
when moving home. f you’re considering purchasing a buy-to- 6.8% while one-bedroom homes had a yield
let property, location is one of the most of 6.1%.
Iimportant factors to consider. While your
budget may dictate where and what type of EH11: Gorgie, Sighthill and The Calders
property you purchase, the location will dictate Homes in EH11 are a great investment
the type of tenant you’re likely to attract, how opportunity with easy access to the city centre.
quickly the property is likely to rent and the yield
that can be achieved.
Boasting great access to the city centre via
bus or tram, making the area popular with
f you are moving home and have a mortgage Understanding the kind of yield your property young professionals, locations in EH11 have
product with early repayment charges, it is can expect is key to making a great investment – seen notable renter demand.
Iusually possible to transfer the mortgage so, combining the latest rental data from Citylets
onto a new property. This is called porting with ESPC’s house price information, we can
and means your mortgage would continue to reveal the three postcodes that provided the Two-bedroom properties in EH11 achieved an
run for the remainder of the initial chargeable strongest rental yields during the first quarter average rental yield of 6.1% during Q1 2023
period, as it would have if you hadn’t moved. The downside to porting a mortgage is that of 2023. while three-bedroom properties offered a
it limits you to using products from your yield of 6% and one-bedroom properties had
If you don’t port your mortgage, you could pay existing lender. You may also not be able to EH12: Corstorphine and Murrayfield a yield of 5.9%.
the early repayment charge and start a new consolidate all your borrowing under one Homes in the EH12 postcode performed strongly
mortgage elsewhere, but porting will allow you mortgage for a period of time – this might during the first quarter of 2023, with properties EH8: Holyrood, Abbeyhill and Willowbrae
to keep your existing mortgage terms, avoiding mean more arrangement fees in the future to here proving popular with a range of renters. EH8 offers an ideal investment opportunity,
early repayment penalties. get preferential rates for both accounts until with this location becoming popular with
they are aligned. Located to the west of the city centre, and families and young professionals.
If you require additional funds for your new covering neighbourhoods such as Corstorphine,
property, you will need to negotiate with your While porting a mortgage can be a good idea Murrayfield, and Saughtonhall, this postcode The area offers great access to the city, the
current lender on the terms of this borrowing. for some homeowners, it can sometimes be a offers a variety of homes suited to students, coast and green spaces, with plentiful amenities
This will generally involve taking on a top- difficult process, but an ESPC mortgage adviser young professionals working in the city and and excellent transport links, making it a very
up product for the balance required to run will be able to work out if it’s the best option families looking for a home close to good popular choice for a wide variety of tenants.
alongside your existing loan amount. for you. schools and green spaces, plus it offers excellent
local amenities and first-rate transport links, Three-bedroom properties offered an average
thanks to the bus and tram routes close by. gross rental yield of 6.5% during the first
quarter of 2023, while one-bedroom homes
ESPC Mortgages offer expert mortgage advice in Edinburgh. consultation with an adviser is free and without obligation.
If you are looking for mortgage advice, get in touch with the Thereafter, ESPC Mortgages’ charges for mortgage advice are Two-bedroom properties in EH12 performed provided a yield of 5.8% and two-beds
team on 0131 253 2920 or fsenquiries@espc.com usually £350 (£295 for first time buyers). strongest, with an average gross rental yield of achieved 5.5%.
The information contained in this article is provided in good YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP
faith. Whilst every care has been taken in the preparation of UP REPAYMENTS ON A MORTGAGE OR OTHER LOANS
the information, no responsibility is accepted for any errors SECURED AGAINST IT. ESPC Lettings is an Edinburgh letting agent. We can help with marketing your rental property and finding the right tenants.
which, despite our precautions, it may contain. The initial Contact the team on 0131 253 2847 or landlord@espc.com.
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