Buying a house to leave empty as an investment.

[Stivino]

Is the property in an area (and of a type) that it will appreciate in value over the years even if sitting empty? And by appreciate I mean to a degree that makes it worthwhile.

I was thinking of a new build or near to new. I had it in mind to sneck it up and forget about it.
For the sake of a round figure and easy arithmetic, just say a property costing £100,000 and appreciating at 5%, have I made £5,000 in a year for doing nothing?

 

[diy_fun_uk]

I was thinking of a new build or near to new. I had it in mind to sneck it up and forget about it.
For the sake of a round figure and easy arithmetic, just say a property costing £100,000 and appreciating at 5%, have I made £5,000 in a year for doing nothing?

There are surely a few variables in answering this. If you literally mean you intend to buy a property and leave it empty with no services connected/running, and you don't intend to pay someone to keep an eye on it, and you don't intend to pay someone to keep on top of small maintenance jobs, and no one attempts (or succeeds) in breaking in then yes, if it appreciates 5% you've made £5k ... minus any costs arising from not doing some of the aforementioned and costs when you come to sell

 

[Justin Passing]

I was thinking of a new build or near to new. I had it in mind to sneck it up and forget about it.
For the sake of a round figure and easy arithmetic, just say a property costing £100,000 and appreciating at 5%, have I made £5,000 in a year for doing nothing?

No. You'll have taxes to pay on an empty property, some utility bills, dilapidations/vandalism, insurance.
You'll have gone backwards relative to inflation.

This would be safer and less hassle:

 

[Stivino]

No. You'll have taxes to pay on an empty property, some utility bills, dilapidations/vandalism, insurance.
You'll have gone backwards relative to inflation.

I won't have to pay utilities if I don't have any.

 

[Justin Passing]

I won't have to pay utilities if I don't have any.

It would be wise to keep some heat, and a couple of fans, to keep mould away.

 

[motorbiking]

£100,000
£3,000 Stamp duty (assuming you have a place somewhere)
£1,200 legal fees
£200 ground rent
£300 Building insurance
£400 Maintenance fee

2% growth avg.
Y3 break even

If you have to pay council tax. You won’t break even