What is a Sourced Approved Investment?
These properties have been carefully sourced and packaged by experienced property investment specialists and trusted Sourced Partners.
- Pre-vetted for investment potential
- Due diligence carried out
- Tailored for investor goals
- Backed by Sourced's expertise and network
Key financials
Profit pa£28,095
ROCE66%
Yield9%
Purchase £ £70,508
Property description
Strategy: HMO
6-Bed HMO Project - Colwyn Bay
A substantial three storey semi detached property offering exceptional potential for a 7 bed licensed HMO in a high demand North Wales rental market. With multiple bathrooms, large internal footprint, off road parking, and no Article 4 restrictions, this asset is well positioned for a high yield co living conversion.
The property is available via modern auction, for cash buyers only, with a low guide price reflecting the need for compliance upgrades and spray foam removal. Once refurbished, the asset is capable of delivering strong cashflow and a viable BRR outcome when refinanced at HMO valuation.
Key Investment Highlights
• Large 6 bed, 4 bath property across three floors
• Scope for 7–8 HMO bedrooms, including 3 en suites
• Strong rental demand from professionals, hospitality, and care sectors
• No Article 4 in Colwyn Bay
• New boiler (2024) and recent roof works
• External insulation & modern windows
• Driveway parking
• High projected yield: 14% gross, 9% net
• BRR viable with £40k left in.
Financial Summary
Purchase (expected hammer): £185,000 Total acquisition (incl. sourcing fee): £209,258 Refurbishment: £52,399 Total project cost: £261,657
Projected rental income: £3,600 pcm (£43,200pa) Net operating income: £28,095pa
BRR Summary
Scenario A – Bricks & Mortar Valuation (£250,000)
• Mortgage @ 75% LTV: £187,500
• Capital left in: £86,644
• BRR not viable under B&M valuation.
Scenario B – HMO Valuation (£308,571) 14% yield
• Mortgage @ 75% LTV: £231,429
• Money left in: £42,715
Risks & Mitigations
• Spray foam insulation, Removal included in budget
• Lift shaft, Fire stopping costed
• Auction purchase, Legal pack review essential
• HMO compliance, Full fire safety and licensing upgrades planned
Conclusion
This property represents a compelling HMO opportunity in a growing North Wales market. With its generous layout, strong rental fundamentals, and realistic path to an HMO valuation, this asset offers investors the potential for high cashflow, and long term stability.
Sourced reference: 356657163268296
Due diligence
No information supplied.
Disclaimer
Sourced endeavour to make our particulars accurate and reliable, however, they do not constitute or form part of an offer or any contract and are not to be relied as statements of representation or fact. The selling agent may or may not be the sole agent and will provide confirmation upon request. Any services, systems and appliances listed in this specification have not been tested by us and no guarantee as to their operating ability or efficiency given. All measurements have been taken as a guide and are not precise, please be aware some of the details may be waiting vendor approval. If you require confirmation or further information, please contact the selling agent. Fixtures and fittings are to be confirmed with the seller and not relied upon when listed. Sourced are not responsible for any loss of monies due to the purchase or purchase process with any property listed.
Key financials
Profit pa£28,095
ROCE66%
Yield9%
Purchase £ £70,508
Sales Agent
Dan Ellis-Forrest
Everlong Property Group Limited
Smart support to move your deal forward
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What is a Sourced Approved Investment?
These properties have been carefully sourced and packaged by experienced property investment specialists and trusted Sourced Partners.
- Pre-vetted for investment potential
- Due diligence carried out
- Tailored for investor goals
- Backed by Sourced's expertise and network