|Type||Beds||Purchase Price||Mortgage (month)||Rental (month)|
|HMO||4 x Studio||£220,000||£360||£2650|
A large double bay fronted Victorian semi which is currently laid out into 4 x studio apartments. The property is in decent condition and enjoys full ongoing tenancy generating circa £23,920pa net of costs ( £115 per flat per week). In a great location the street is made up of impressive 2 and 3 storey Victorian properties, many of which have been converted into self-contained units.
The proposal is to offer our client a redevelopment opportunity, refurbing the existing studios and carrying out a scope of works to add 2 additional bedrooms to the upstairs flats. This would offer the client base something a little different, but with two keys selling points in place. Firstly by developing and refurbing the property we will add value, I fully expect the finished development to be in the region of £280 - £290k.
Buy the project as is at £220,000, using 50% funding, then an additional £35,000 for the rebuild/refurb (total is at £255,000). The vendor has already drawn up the plans and is producing a scope of works and schedule.
The projected timeframes from purchase to completion of works and tenanting the property is 10 - 12 weeks
A purchase price of £255,000 and pay a 10% deposit. We will then organise the finance and carry out the build. At completion the project will come fully let.
This property is located in Nottingham.