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Year 5 disposal
⊞ View all 5
13/ 100
Weak
6.27% return before costs — market rent unverified, verify rent + comps locally.
Why it works
Why to be cautious
- Service charge unknown — could swing £100-300/mo
- Monthly profit −£239/mo — significantly negative — real recurring drain
- -1.8% 5y IRR — capital outlay disproportionate to returns
- No rent comparables — estimate is a rule-of-thumb fallback, not market data. Verify the rent locally before offering.
Property research tool — not a regulated financial service. Numbers are point-in-time estimates; how we decide →
Monthly cashflow
−£239/mo
You top up £239/mo
Price
£850K
No local sold comps to compare
Return · IRR
-1.8%/yr
Loses money over 5 years
Cash to get in
£317K
Deposit + fees + refurb
Return before costs on price 6.27%5-yr return on cash 2%Rent est. £4,442 (£4,042–£4,882)
How we define each return: On price — gross yield = annual rent ÷ purchase price. On cost — net yield ÷ total project cost (price + refurb + fees). On cash — cash-on-cash & ROI ÷ the actual cash you put in (deposit + costs).
What-if calculator
Rates as of 20 May 2026Buy-to-Let. Standard rental on an Assured Shorthold Tenancy. Single household, market rent, paid monthly direct to landlord (or via agent). (hover any strategy tab for pros + cons)
Offer (£)
Monthly rent (£)
Local comp range: £4,042–£4,882/mo · n=167
Financing
DepositYour cash in — the rest is the mortgage25% · £212,500
Standard 75% LTV for BTL
Mortgage rate5y fixed5.8%
5-year fixed at 75% LTV — 5.75% (as of 2026-05-20).
Mortgage term (years)
Stress rate6.5%
BoE base + 2pp stress (6.5%)
Acquisition costs
Refurb (£)
Per-property refurb estimate from the element rate-card model (£9,601–£17,921 range), VAT-inclusive
Legal + survey (£)
Leasehold flat — £2,500 legal + £850 survey
Mortgage fees (£)
2% product fee on £637,500 loan + £1,000 booking fee
Running costs
Management10%
Typical BTL agency rate
Void weeks
Typical voids for BTL
Insurance (£/mo)
Typical BTL building+landlord cover for £400K+
Maintenance (£/mo)
Semi/flat: £67/mo proxy
Leasehold costs
Result · Rent it out
Monthly profit
-£239
after mortgage, operating costs & tax
Rent in£4,442/mo gross
£4,271/mo collected · £171/mo lost to voids
Where it goes
£3,453Mortgage£1,057Costs
Outgoings exceed rent — you top up £239/mo
Mortgage£3,453
Costs£1,057
Management£444
Maintenance£67
Insurance£40
CapEx reserve£222
Voids + council tax£5
Service charge + ground rent£175
Ltd co. accounts£104
Tax—
Shortfall−£239
Returns
Return before costs on price6.27%
Cash return on cash-0.90%
Gross margin£3,214
Cash needed£317,401
Monthly profit paybackn/a (monthly loss)
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress1.24
Rent-covers-mortgage check FAIL · stress 6.5% (need ≥ 1.45)
Year-by-year Monthly profit (5-yr horizon)
Net Monthly profit after tax. Rent + costs compound at their growth rates; mortgage principal amortises year-by-year for repayment loans.
Mortgage paydownRent profitbefore price growth
Full year-by-year breakdown
| Year | Gross Rent | Op Costs | Mortgage | Equity Built | Tax | Net | Cumulative |
|---|---|---|---|---|---|---|---|
| Year 1 | £53,304 | £12,688 | £41,438 | £0 | £0 | -£822 | -£822 |
| Year 2 | £54,903 | £13,069 | £41,438 | £0 | £75 | £322 | -£500 |
| Year 3 | £56,550 | £13,461 | £41,438 | £0 | £314 | £1,338 | £838 |
| Year 4 | £58,247 | £13,865 | £41,438 | £0 | £559 | £2,386 | £3,224 |
| Year 5 | £59,994 | £14,281 | £41,438 | £0 | £812 | £3,464 | £6,688 |
Disposal gain (gross)-£26,144
CGT£0
Net Disposal proceeds£915,007
What we verified
What we verified
23062 ok · 3 caution · 0 fail · 6 unknown
Legal & planning
LeaseholdLeasehold
Tenure & planningLeasehold
Legal & planning
2 checks- TenureUnknown
- Lease lengthUnknown
Building condition
Energy ratingUnknown
EPC& 2030 deadlineEPC register
EPC band not available in the listing. The 2030 MEES minimum is band C — verify the certificate before offering.
EPC band from listing · verify certificate before exchanging
Find EPC certificate →Cladding safety certificateNot stated on the listing
EWS1& cladding statusListing signal
OKInfoVerifyCritical
Severity
Inferred from listing text
Verify
Lender impact
No EWS1 / floor info in description. Buildings > 11 m need EWS1 or PAS 9980 — confirm height + status with the agent before offering.
Verify with lender
A1/A2 = mortgageable · B1 = mortgageable with plan · B2 = remediation required
RICS EWS1 guidance →HeritageNot stated on the listing
Heritage& planning constraintsNHLE register
We don't ingest the NHLE bulk register, so we can't flag listed-building or conservation-area status for this address from our data alone. Use the official registry to verify before exchanging.
Area
Flood riskChecking…
FloodriskEA
Crime riskChecking…
Crimeriskpolice.uk
SchoolsChecking…
Schools& Ofsted catchmentGIAS register
No schools indexed for this postcode sector.
Investor
Tenant profileMixed demand
Tenant profilelikely cohortSW11 · 2 bed
Primary profile
Mixed demand
Nearest university
for student-let assessment
King's College London · 3.5 km
Reason
Mixed-demand area without a single dominant tenant cohort. Local lettings agent can clarify.
Heuristic from postcode + bedrooms + nearest-university distance · verify locally
Refurb costEstimate ready
Refurb cost& works budgetQ1 2026 rates
New kitchen + bathroom + light replumb + decor.
Total estimate
2-bed · 2-bath · 864 sqft · London ×1.4
£34k–£65k
£ per sqft
building cost only
£39–£76
Per-item breakdown (4 lines)
- Kitchen · Full unit replacement£4,640–£10,440
- 2 × bathroom · Full strip + retile£8,400–£16,800
- Paint + decor£8,640–£15,552
- Flooring · Carpet on bedrooms + LVT/laminate downstairs£12,096–£22,464
Guide rates · UK May 2026
Tier-based bands — get a builder quote before exchanging.
Rent by the room licensingN/A
Price & sale history87d on marketno cuts yet
Strategy matrix
Rent it out wins — -£239/mo · level with Refurb & refinance
| Strategy | Return before costs on price | Monthly profit | Cash needed | 5y Return on your cash on cash | Risk | Feasibility |
|---|---|---|---|---|---|---|
| ⭐ Rent it out | 6.27% | -£239 | £317,401 | 2.1% | Low | Feasible |
| Housing-benefit rent | 2.53% | -£2,502 | £317,401 | -43.4% | Med | Feasible |
| Council lease | 0.00% | -£3,839 | £317,401 | -73.0% | Low | Feasible |
| Refurb & refinance | 6.27% | -£239 | £365,021 | 1.8% | Med | Feasible |
| Short-stay let / Airbnb | 4.82% | -£2,049 | £317,401 | -36.8% | High | Feasible |
| Buy, improve & sell | 0.00% | -£386 | £946,271 | 7% | Med | Feasible |
| Rent by the room | — | — | — | — | — | Disabledneeds 3+ beds |
Short-let (SA) context276 active short-lets nearby
Short-let market context
- 276 active short-let listings in this postcode
Ready to move on this deal?
Generates an offer pack with your numbers & sources — take it to the agent.
Pro analysis — outcome range, stress tests & portfolio impact
Local lettings demanddays-to-let · supply now · trend
Local lettings demandby strategyLive area data
Short-stay let25% occupancy
£456/night ADR
Based on 51 short-let comps nearby
Rent by the room conversion upside
-£2,374/mo cash flow vs Rent it out if converted to Rent by the room
3.39% Return before costs on price converted vs 6.27% as-is
As-is Rent it out
Monthly profit+£66
Return before costs on price6.27%
Cash needed£224,398
If converted to Rent by the room
Monthly profit-£2,308
Return before costs on price3.39%
Cash needed£240,398
Δ vs Rent it out Monthly profit-£2,374
Show conversion detail
Cannot Rent by the room:Only 2 bed — too small for an HMO (3+ unrelated tenants from 2+ households) without major reconfiguration.
Conversion cost estimate
£56,000
Range: £47,600 – £67,200
Fire safety, plumbing, partitioning, licensing.
Rates as of Apr 2026
£62,856–£117,264full refurb + room split
What's in this cost
- Kitchen£10,440–£20,880
- 2 × bathroom£14,400–£26,400
- Rewire£4,320–£7,776
- Replumb£3,456–£6,912
- Windows£9,504–£17,280
- Paint + decor£8,640–£15,552
- Flooring£12,096–£22,464
Comparables
sold within 0.5 miLoading nearby sold…
Location & area intelligence
Transport score90 / 100
On the map
- Registered HMOs
- Approved HMO conversions
- Pending HMO applications
Tax treatment
Annual gross rent£53,304
Section 24 credit£0
Annual tax due£0
Post-tax Monthly profit annual-£2,872
Exit costs
Projected sale price (5y · 2%/yr growth)£938,469
Capital gain (pre-CGT)£88,469
Sale costs (~2.5%)£23,462
CGT due (Ltd Co 25%)£0
No personal CGT — the gain is taxed at the company level (corporation tax) when the SPV disposes of the property.
Net 5y Monthly profit after CGT£6,688
Rates as of Oct 2024
Acquisition costs
£317,401cash neededPurchase price£850,000
Deposit (25%)£212,500
Stamp duty+5% additional-property surcharge£75,000
Refurb£12,801
Legal + survey£3,350
Mortgage fees£13,750
Total cash neededdeposit + costs (loan covers the rest)£317,401
Green = verified data. Amber = market typical. Red = our estimate — verify before offering.
About this propertydescription · onthemarket
Description& agent copyOnTheMarket
We are delighted to introduce this brandnew, two-bedroom, two-bathroom apartment located on the fourth floor of the prestigious Madeira Tower within The Residence — one of London’s most dynamic and sought-after new developments. Spanning 864 sq ft and complemented by a private balcony, this beautifully appointed home benefits from desirable north and west-facing aspects.
The apartment features a spacious open-plan kitchen and reception area, designed with modern living in mi…
Floor plans
Listing metaonthemarket · EGRE - London
About this listing
87 days · OnTheMarketPrice history
5-year price trend
Monthly profit
−£239
Cash needed
£317K
Return after costs
-0.90%
IRR
-1.84%
Listed 87d ago
Madeira Tower, London SW11, London, SW11
flat · 2 bed · 2 bath · 864 sqft
£850,000
est £4,442 · 6.27% gross
1 / 5
13/100
Marginal
6.27% — verify the rent + comps locally.
6.27% Return before costs — around the area average for this property type.
Monthly profit −£239/mo at the default 25% deposit @ 5.5% — open the calculator to stress-test.
Price
£850K
Return before costs
6.27%
est rent £4,442/monot enough comparablesRange £4,042–£4,882/mo (Q1–Q3)
Bedrooms
2
2 bath
Energy rating
—
Energy rating
Run the numbers
What-if calculator
Rates as of 20 May 2026Buy-to-Let. Standard rental on an Assured Shorthold Tenancy. Single household, market rent, paid monthly direct to landlord (or via agent). (hover any strategy tab for pros + cons)
Offer (£)
Monthly rent (£)
Local comp range: £4,042–£4,882/mo · n=167
Financing
DepositYour cash in — the rest is the mortgage25% · £212,500
Standard 75% LTV for BTL
Mortgage rate5y fixed5.8%
5-year fixed at 75% LTV — 5.75% (as of 2026-05-20).
Mortgage term (years)
Stress rate6.5%
BoE base + 2pp stress (6.5%)
Acquisition costs
Refurb (£)
Per-property refurb estimate from the element rate-card model (£9,601–£17,921 range), VAT-inclusive
Legal + survey (£)
Leasehold flat — £2,500 legal + £850 survey
Mortgage fees (£)
2% product fee on £637,500 loan + £1,000 booking fee
Running costs
Management10%
Typical BTL agency rate
Void weeks
Typical voids for BTL
Insurance (£/mo)
Typical BTL building+landlord cover for £400K+
Maintenance (£/mo)
Semi/flat: £67/mo proxy
Leasehold costs
Result · Rent it out
Monthly profit
-£239
after mortgage, operating costs & tax
Rent in£4,442/mo gross
£4,271/mo collected · £171/mo lost to voids
Where it goes
£3,453Mortgage£1,057Costs
Outgoings exceed rent — you top up £239/mo
Mortgage£3,453
Costs£1,057
Management£444
Maintenance£67
Insurance£40
CapEx reserve£222
Voids + council tax£5
Service charge + ground rent£175
Ltd co. accounts£104
Tax—
Shortfall−£239
Returns
Return before costs on price6.27%
Cash return on cash-0.90%
Gross margin£3,214
Cash needed£317,401
Monthly profit paybackn/a (monthly loss)
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress1.24
Rent-covers-mortgage check FAIL · stress 6.5% (need ≥ 1.45)
Short-let (SA) context276 active short-lets nearby
Short-let market context
- 276 active short-let listings in this postcode
Year-by-year Monthly profit (5-yr horizon)
Net Monthly profit after tax. Rent + costs compound at their growth rates; mortgage principal amortises year-by-year for repayment loans.
Mortgage paydownRent profitbefore price growth
Full year-by-year breakdown
| Year | Gross Rent | Op Costs | Mortgage | Equity Built | Tax | Net | Cumulative |
|---|---|---|---|---|---|---|---|
| Year 1 | £53,304 | £12,688 | £41,438 | £0 | £0 | -£822 | -£822 |
| Year 2 | £54,903 | £13,069 | £41,438 | £0 | £75 | £322 | -£500 |
| Year 3 | £56,550 | £13,461 | £41,438 | £0 | £314 | £1,338 | £838 |
| Year 4 | £58,247 | £13,865 | £41,438 | £0 | £559 | £2,386 | £3,224 |
| Year 5 | £59,994 | £14,281 | £41,438 | £0 | £812 | £3,464 | £6,688 |
Rent by the room upside
What we verified
2307
Legal & planning▾
Article 4HMO restriction lookupUnknown
Rent by the room licensingMandatory if 5+ unrelatedN/A
TenureTenure typeLeasehold
HeritageListed building / conservation areaNot stated on the listing
Building condition▾
EPCPostcode estimate — check the registerNot stated on the listing
EWS1External wall safety (cladding)Not stated on the listing
Refurb costBased on beds + baths + sqftEstimate available
Area▾
Crimepolice.uk · monthlyChecking…
SchoolsGIAS · OfstedChecking…
FloodEA Flood Map · England onlyChecking…
Investor profile▾
Tenant profileBeds + postcode heuristicFamily let
Rent by the room feasibilityMin 3 beds for C4 routeBelow threshold
Comparables
sold within 0.5 miLoading nearby sold…
Location & transport
Tax & exit
Tax bandLtd Co 25%
Mortgage-interest tax rule credit£8,288
Annual rental tax£0
CGT yr 5£0 · company level
5y net total£6,688
Acquisition costs
25% deposit£212,500
Stamp duty£75,000
Refurb£12,801
Legal + survey£3,350
Mortgage + broker£13,750
Cash needed£317,401
Green = verified data. Amber = market typical. Red = our estimate — verify before offering.
Make an offer
Pro analysis — outcome range, stress tests & portfolio impact
Your notes
Description& agent copyOnTheMarket
We are delighted to introduce this brandnew, two-bedroom, two-bathroom apartment located on the fourth floor of the prestigious Madeira Tower within The Residence — one of London’s most dynamic and sought-after new developments. Spanning 864 sq ft and complemented by a private balcony, this beautifully appointed home benefits from desirable north and west-facing aspects.
The apartment features a spacious open-plan kitchen and reception area, designed with modern living in mi…
Floor plans
Listing
Sources: Rightmove · HM Land Registry · Ofsted · EA Flood Zones
Estimates not financial advice
Estimates not financial advice