Mid Terrace 3-Bed BTL in Cheshire

Strategy: BMV, Buy to Let BRRR

Key property details:
- Freehold
- 67 sqm
- EPC D
- Council tax band A
- Vacant possession
- No chain
- Traditional mid terrace house.

This mid-terraced house is in fairly good order although would benefit from a freshen up before being let. We have added a refurbishment budget of £15,000 to make sure any un for seen problems can be rectified before being offered to the rental market. In our opinion the rent achievable would be up to £900 PCM compared to its value which we think would be £120,000. Rent asking prices can go from £900 pcm to £1100pcm for three bedroom properties in this area.

Please remember, we will view the property, negotiate the price and pursue the purchase through to exchange on your behalf, if you so wish. To move forward, you will need to sign our contract, provide proof of funds, and complete all necessary anti money laundering and identity checks. If you need funding, an SPV to hold your property or a managing agent to find tenants and collect rent then these can be arranged separately by Sourced head office in Warrington.

▪ Purchase price: £90,000
▪ GDV: £120,000
▪ Refurb costs: £15,000
▪ Annual profit: £6,300
▪ ROCE: 24%
▪ Yield: 9%

▪ Stamp duty: £4,500.
▪ Sourcing fee: £4,800 inc vat
▪ Legal fees estimate: £1,000
▪ Survey and valuation estimate: £600
▪ Insurance estimate: £50 ( between exchange and completion )
▪ Total: £115,950

▪ Refinance example based on new valuation: £120,000
▪ Money out via refinance: £90,000
▪ Money left in after refinance: £25,950
▪ Mortgage Interest 75%@5% : £4,500

Representing potentially all money out in just over 4 years!

No allowance has been made for, management fees, maintenance, insurance or void periods and conversely no calculation for capital appreciation or future rent increases have been made either as these are variable and unique to each tenancy / property.

Yield and ROCE explained.
Yield is the income divided by the amount spent, or sometimes the income divided by the purchase price, shown as a percentage to indicate a return benchmark.
ROCE, is return on capital employed, or also known as money left in after refinance. For a gross ROCE calculation divide the income by the money left in, express as a percentage.

We are saving you the investor time, reducing risk and providing access to opportunities you may never have found alone. We find the property, arrange viewings, negotiate with the estate agents, analyse opportunities, make sure the figures work before we have them checked and approved by an in house property analyst at the Sourced head office in Warrington. We are registered at the Information Commissioners Office, are a member of the Property Redress Scheme, have public and professional liability insurance and have registered for anti money laundering supervision with HMRC. We use legal documents and are highly trained in property and finance.

Most importantly we are powered by Sourced, a phenomenal team with years of valuable experience.

Sourced offer a comprehensive property wealth building package in one place;
Sourced Investment Agents - Sourcing investment opportunities for you,
Sourced Enterprise - Limited company and SPV formations with tax efficient portfolio structuring and accounting solution.
Sourced Finance - Access specialist property lending and mortgages, created for investors.
Sourced Lettings - Seamlessly integrate property management using our nationwide lettings management service.

If you are interested in this or other opportunities we have, or would like us to find a specific opportunity for you please get in touch.

Sourced reference: 274393559687791