I wonder if there is an HPC on posting pictures to contest this.
I was renting a £500K place for ~£1kpcm, an even lower yield than 3%. It was the best rental property in the village. However, with two kids in school, if the landlord would have wanted the house back then there were no other good rental properties. In my 40's with two young kids and £300K+ in the bank and eight years renting, it was just not worth waiting any more.
A house came up in cash-range with two thirds of an acre and outbuilding for conversion so I took it. I got a mortgage at 2.19% (HSBC) and kept much of the savings in NS&I (RPI+1%), a nice interest rate differential producing a tax-free £4K per year. Next job is extend my place to the same size as the neighbours, two of which have just sold for £600K and £700K.
I'm now protected from the money-printers.
Reminds me of some friends who got a good deal renting in a village from a decent landlord. Unfortunately he passed away and his daughter gave them two months to leave as she wanted to cash in. Very difficult for them as they had 3 kids, 2 of them attending the local school. Fortunately they lucked out and were able to buy a nice house in the village at a "reasonable" price during the 2008/9 crash. But it was a bit of an eye opener for me. When it comes to living in a village there are far more risks associated with renting than many of us city dwellers realise.