R2R in Stanley, High ROCE
About this property
The proposed strategy is to lease the property from its owner and operate it under the agreed subletting model. The opportunity offers a lower ownership requirement, while performance depends on occupancy, operating costs and landlord consent.
This deal can generate high cashflow.
This property is in close proximity to major local amenities such as schools, transport links, and vibrant shopping hubs, thereby ensuring daily essentials are easily accessible.
The agent has highlighted that this deal offers a high return on capital employed, allowing your investment to work hard in generating you income.
A great opportunity to acquire a well presented end of terrace R2R house, recently refurbished and furnished to a high standard with new decking and hot tub included.
The house is situated less than 20 minutes from Newcastle and the university city of Durham too. It is also on the verge of the North Pennines National Park, so attracts high demand from hikers and general tourists all year round. It is also 15 minutes from the popular attraction that is Beamish Museum, and is surrounded by golf courses.
There is private side/rear parking along with free on-street parking for convenience, especially suitable for contractors.
Financial Information
Rental price (to pay): £600
Refurb/works cost: £0
Sourcing fee: £4,000
Monthly profit (£): £1,170
Annual profit: £14,040
Monthly rent: £2,100
Annual rent: £7,200
ROCE (%): 142%
Investment required: £8,000
Investment calculators
Need finance? Sourced Financial Services specialise in HMO mortgages and can secure same-day decisions in principle.
Speak to a brokerAssumes English SDLT rates and 3% additional property surcharge. Welsh LTT and Scottish LBTT differ. Always confirm with your solicitor.
Ltd company (SPV) purchases pay the same additional-property SDLT rates, but mortgage interest is fully deductible against rental profits.