Not to be missed! A new BTL opportunity for your review.

This two-bedroom freehold terrace in a strong area in Hull, offering a solid income-producing asset with light value-add potential. The property benefits from a practical layout including two good-sized bedrooms, a spacious living area, kitchen with utility, and is currently in lettable condition with scope to modernise.

Key Property Details
• Approx. 2-bedroom standard terrace layout
• Freehold
• Established residential location
• Good room sizes + utility area
• Lettable condition
• Light refurbishment required to modernise – £5,500

Key Financials
Example BTL mortgage: 75% LTV, 5% interest-only
• Target purchase price: £55,000
• Purchase costs: £8,850 - includes:
• £4,000 sourcing fee
• £1,500 legal
• £350 insurance
• £3,000 SDLT
• Refurb costs: £5,500
• Total investment required: £31,753
• Gross monthly rent: £700
• Gross annual rent: £8,400
• Monthly mortgage payment: £266
• Monthly net income: £434
• Annual net income: £5,213
• Gross yield: 10%
• ROCE: 40%

Mortgage Assumptions
• Loan: £41,250
• LTV: 75%
• Rate: 5% interest-only
• Monthly mortgage: approx. £266

GDV & Refinance Strategy
Based on comparable sold evidence in the area, the GDV for a modern standard 2-bedroom house is estimated to be in the region of £80,000–£90,000.

This creates a potential opportunity to use a bridge-to-let strategy, where the property is purchased using bridging finance, modernised, and then refinanced onto a standard BTL mortgage once works are complete.

Subject to valuation and lender criteria, there may be potential to recycle all or most of the initial purchase costs on refinance, allowing the investor to retain the asset while recovering a significant portion of capital invested.

Investment Highlights
• Strong 10% yield in a proven rental location
• Excellent 40% ROCE driven by low refurb costs
• Freehold asset – no service charge or lease restrictions
• Light value-add opportunity to increase rent and value
• Located in a high-demand HU5 area with strong resale potential

Complete Investment Support Package
With Sourced, you have access to a complete property investment support package in one place.

This includes:
• Sourced Enterprise – full limited company SPV setup and accounting support
• Sourced Finance – access to specialist lending options not usually available on the high street
• Sourced Living – fully compliant lettings and property management service
• Legal support – conveyancing team available if required
• Renovation support – experienced refurbishment team ready to assist with works where needed

Investor Note
The figures below are based on current market conditions and comparable sales within the last 12 months. All costs have been included to reflect a realistic taxable income position. As always, property should be viewed as a long-term investment, offering steady cash flow and capital growth rather than a short-term gain.

For further details or to invest, please get in touch.

Sourced reference: 747256344646719