|Gross Rents (PCM)||£3,300|
|Estimated Net Profit (PCM)||£1,115|
Taking into consideration void periods, management and tenancy set-up costs, utilities including Council Tax and maintenance.
Chapelfields, Coventry CV5 6HJ
Sale completed: January 2020
At the time of purchase, the property was a tired terraced House of Multiple Occupation (HMO), spread over three floors. There were 6 bedrooms with two shared shower rooms. Accommodation was dated and in poor condition.
Conversion work was undertaken to create six bedrooms, all of which are en-suite. The footprint of the kitchen remained the same but was completely refitted and modernised into a large kitchen dining space. One of the shower rooms was converted into a utility room for the use of all tenants.
|Return on Investment Calculations|
|Initial Deposit (20%)||£46,000|
|Refurbishment (including HMO Licence)||£83,073|
|Refinance After Refurbishment|
|New Value (Estimated) Spring (2020)||£330,000|
|New Mortgage Lend (80% LTV)||£264,000|
|Initial Mortgage Lend (80% LTV)||£184,000|
|Money Left In Deal||£64,291|
|Net Annual Income||£13,375|
|Return on Investment||20.8%|