Skip to main contenthow this is calculated →
Year 5 disposal
BMV -21%
⊞ View all 9
79/ 100
Solid
Real 14.73% Rent by the room return before costs with manageable risks.
Why it works
- Monthly profit +£289/mo from completion — the no.1 reason to invest
- 13.44% return before costs — above-market
- 14.7% Rent by the room return before costs (net 6.21% after CapEx + bills) — conversion play
- Priced below market -21% vs 12 nearby sold (last 12 mo) — instant equity
Why to be cautious
- EPC band not stated — verify the certificate before offering (2030 MEES minimum is band C).
Property research tool — not a regulated financial service. Numbers are point-in-time estimates; how we decide →
Monthly cashflow
+£289/mo
Pays you every month, net of costs
Price vs market
Below market value
-21% vs 12 sold · interior unseen
Return · IRR
5.7%/yr
Modest annualised return
Cash left in
£38K
Stays in after refinancing at value
Price £155KCash to buy £68KReturn before costs on price · Rent by the room 14.73%5-yr return on cash 35%Rent est. £1,736 (£1,455–£2,071)
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: £1,455–£2,071/mo · n=11
Financing
DepositYour cash in — the rest is the mortgage25% · £38,750
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 (£11,333–£21,155 range), VAT-inclusive
Legal + survey (£)
Leasehold flat — £1,500 legal + £500 survey
Mortgage fees (£)
2% product fee on £116,250 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 sub-£200K
Maintenance (£/mo)
Semi/flat: £67/mo proxy
Leasehold costs
Result · Rent it out
Monthly profit
+£289
after mortgage, operating costs & tax
Rent in£1,736/mo gross
£1,669/mo collected · £67/mo lost to voids
Where it goes
£630Mortgage£683Costs£289Your profit
£289/mo left as profit · 17% of rent kept
Mortgage£630
Costs£683
Management£174
Maintenance£67
Insurance£20
CapEx reserve£87
Voids + council tax£6
Service charge + ground rent£226
Ltd co. accounts£104
Tax£68
Profit+£289
Returns
Return before costs on price13.44%
Cash return on cash5.13%
Gross margin£986
Cash needed£67,536
Monthly profit payback19y 6m
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress2.65
Rent-covers-mortgage check PASS · stress 6.5% (target 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 | £20,832 | £8,197 | £7,556 | £0 | £965 | £4,114 | £4,114 |
| Year 2 | £21,457 | £8,443 | £7,556 | £0 | £1,037 | £4,421 | £8,535 |
| Year 3 | £22,101 | £8,696 | £7,556 | £0 | £1,111 | £4,737 | £13,272 |
| Year 4 | £22,764 | £8,957 | £7,556 | £0 | £1,188 | £5,063 | £18,335 |
| Year 5 | £23,447 | £9,226 | £7,556 | £0 | £1,266 | £5,399 | £23,734 |
Disposal gain (gross)-£13,607
CGT£0
Net Disposal proceeds£166,854
What we verified
What we verified
23072 ok · 3 caution · 0 fail · 7 unknown
Legal & planning
LeaseholdLeasehold
Leaseholdmaterial factsListing extract
Ground rent
Doubling = lender risk
£25/yr
Extracted from listing description · verify with solicitor
Tenure & planningLeasehold
Legal & planning
2 checks- TenureUnknown
- Lease lengthUnknown
Council planning restrictionUnknown
Council planning restrictionRent by the room conversion gatePlanning data
Conversion approvability
Per-property planning assessment
Likely approvable71% likely
Confidence: low
- Article 4 direction applies — planning permission required for C3->C4 HMO
- no known HMOs within 40m (below threshold)
- local council HMO approval rate 71% (187 decisions)
- this council refuses HMOs that would sandwich a family home between two HMOs — check both adjoining properties
- NO HMO concentration data for this council: neither a licensed register nor granted change-of-use decisions nearby. This is ABSENCE OF DATA, not absence of HMOs — verify with the council before relying on it
Rent by the room concentration nearby
≈0.0% within 40 m vs 10% policy
Rent by the room restriction
C3 to C4 conversion
Unknown
Confidence
low
Source
No LPA data for this prefix
Rates as of May 2026
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 cohortSO14 2BB · 3 bed
Primary profile
Mixed demand
Nearest university
for student-let assessment
University of Southampton · 3.9 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
3-bed · 2-bath · 990 sqft
£28k–£56k
£ per sqft
building cost only
£29–£56
Per-item breakdown (4 lines)
- Kitchen · Full unit replacement£3,840–£8,640
- 2 × bathroom · Full strip + retile£6,650–£13,300
- Paint + decor£6,930–£12,870
- Flooring · Carpet on bedrooms + LVT/laminate downstairs£10,890–£20,790
Guide rates · UK May 2026 · sqft auto-estimated from beds
Tier-based bands — get a builder quote before exchanging.
Rent by the room licensingStandard rules
Price & sale history218d on market1 price change
Sale price historythis address, HM Land RegistryPrice-Paid Data
Asking vs last sale
£133,500 in 2016 → £155,000 asking
+16.1%in 10y
- 2016£133,500+105.4% in 9y
- 2007£65,000—
HM Land Registry · Price-Paid Data (Open Government Licence). Growth percentages are nominal — not adjusted for inflation or local market movement.
Strategy matrix
Council lease wins — +£488/mo · £199/mo ahead of Rent it out
| Strategy | Return before costs on price | Monthly profit | Cash needed | 5y Return on your cash on cash | Risk | Feasibility |
|---|---|---|---|---|---|---|
| Rent it out | 13.44% | +£289 | £67,536 | 35.1% | Low | Feasible |
| Housing-benefit rent | 8.30% | -£251 | £67,536 | -12.4% | Med | Feasible |
| ⭐ Council lease | 13.44% | +£488 | £67,536 | 48.8% | Low | Feasible |
| Refurb & refinance | 13.44% | +£289 | £81,330 | 29.2% | Med | Feasible |
| Short-stay let / Airbnb | — | — | — | — | — | Disabledno local short-let data |
| Buy, improve & sell | 0.00% | -£417 | £186,505 | 0% | Med | Feasible |
| Rent by the room | 14.73% | -£1,109 | £93,536 | -63.0% | — | Feasible |
Housing-benefit (LHA) scheme detailBRMA Southampton · cap £1,072/mo
Housing-benefit rent scheme detail
- Rental Market Area (BRMA):
- Southampton
- LHA monthly cap:
- £1,072
- Scheme type:
- PSL
- Premium:
- +800% premium over LHA cap
- Typical lease:
- 0 years lease
- Management:
- management covered by council
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
Rent by the room conversion upside
-£157/mo cash flow vs Rent it out if converted to Rent by the room
18.58% Return before costs on price converted vs 13.44% as-is
Room mix (3 lettable rooms)
1× Double @ £654/mo1× Single @ £524/mo1× En-suite @ £724/mo
≈ £1,903/mo gross room income
As-is Rent it out
Monthly profit+£486
Return before costs on price13.44%
Cash needed£50,648
If converted to Rent by the room
Monthly profit+£330
Return before costs on price18.58%
Cash needed£66,648
Δ vs Rent it out Monthly profit-£157
Show conversion detail
Conversion cost estimate
£48,000
Range: £42,000 – £56,000
Fire safety, plumbing, partitioning, licensing.
Rates as of Apr 2026
Planning approval likelihood
Likely approvable · 71% likely
low confidence
- Article 4 direction applies — planning permission required for C3->C4 HMO
- no known HMOs within 40m (below threshold)
- local council HMO approval rate 71% (187 decisions)
≈0.0% within 40 m vs 10% policy
£49,607–£93,000full refurb + room split
⚠️ Capped at 60% of £155,000 asking (£93,000). Raw model: £54,690–£102,530. Verify with a surveyor before offering.
What's in this cost
- Kitchen£7,837–£15,674
- 2 × bathroom£10,340–£18,957
- Rewire£3,592–£6,286
- Replumb£2,694–£5,388
- Windows£8,980–£16,164
- Paint + decor£6,286–£11,674
- Flooring£9,878–£18,858
Based on 3291 HMO comps within 312 m
Comparables
sold within 0.5 miWide · CV 26.4%Med confidence
Loading nearby sold…
Location & area intelligence
Transport score100 / 100
On the map
- Registered HMOs
- Approved HMO conversions
- Pending HMO applications
Southampton City-wide HMO Article 4
≈0.0% within 40 m vs 10% policy
Schools & catchment2 schools nearby
Nearby schoolsOfsted-rated, nearest first2 of 5
- Not ratedOaktree Education Services LimitedNot applicable · Special post 16 institution · SO14 2AW
- Not ratedSt John's Primary and Nursery SchoolPrimary · Foundation school · SO14 2AU
Ofsted · postcode-area match. Catchment areas vary year to year — verify with the local council before relying for school admissions.
Tax treatment
Annual gross rent£20,832
Section 24 credit£0
Annual tax due£965
Post-tax Monthly profit annual£3,313
Exit costs
Projected sale price (5y · 2%/yr growth)£171,133
Capital gain (pre-CGT)£16,133
Sale costs (~2.5%)£4,278
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£23,734
Rates as of Oct 2024
Acquisition costs
£67,536cash neededPurchase price£155,000
Deposit (25%)£38,750
Stamp duty+5% additional-property surcharge£8,350
Refurb£15,111
Legal + survey£2,000
Mortgage fees£3,325
Total cash neededdeposit + costs (loan covers the rest)£67,536
Green = verified data. Amber = market typical. Red = our estimate — verify before offering.
About this propertydescription · rightmove
Description& agent copyRightmove
This well presented, split-level apartment is located in the heart of Southampton and would make an ideal investment or first purchase.
Benefits include three well-proportioned bedrooms, three spacious balconies with attractive views, and a contemporary kitchen and bathroom.
The apartment, which is located in Castle House, offers versatile accommodation across two floors.
As you enter on the second floor, there is a welcoming hallway, with stairs leading to the main accomm…
Floor plans
Nearby active comparables15 rentals · 5 deals
Comparable rentals
SO14 · same beds + typeMedian nearby: £1,550/mo · 15 of 15 already let-£186 vs our est
- Ocean Way, Southampton, SO14Let3b£2,700/moMay 2026
- Cranbury Avenue,SouthamptonLet3b£1,350/moMay 2026
- The Hawkins Tower, Admirals Quay, Oce…Let3b£2,950/moMay 2026
- The CorranadesLet3b£1,550/moMay 2026
- The CarronadesLet3b£1,550/moMay 2026
- Bellevue Terrace, Southampton, SO14Let3b£1,575/moMay 2026
- Oxford Street, Southampton, Hampshire…Let3b£1,350/moDec 2025
- Alma Road, SouthamptonLet3b£1,500/moDec 2025
- Denzil Avenue, Southampton, Hampshire…Let3b£1,100/moMay 2026
- New Road, Southampton SO14Let3b£1,550/moMay 2026
- Oxford Street, Southampton, Hampshire…Let3b£1,350/moDec 2025
- Charter House, Canute Road, Southampt…Let3b£2,500/moJun 2025
- 128 Bevois Valley Road, Portswood, So…Let3b£1,250/moJun 2025
- York Close, Southampton SO14Let3b£1,200/moJun 2025
- High Street, Southampton SO14Let3b£1,850/moJun 2025
Listing metarightmove · Charters
About this listing
218 days · RightmovePrice history
5-year price trend
Monthly profit
+£289
Cash needed
£68K
Return after costs
5.13%
IRR
5.75%
Listed 218d ago
Castle Way, Southampton, Hampshire, SO14
flat · 3 bed
£155,000
est £1,736 · 13.44% gross
Priced below market
1 / 9
79/100
Solid
Real 14.73% — fundamentals work.
Priced below market -21% vs 12 nearby sold (last 12 mo)
Monthly profit +£289/mo at 25% deposit @ 5.5%
Stress Rent-covers-mortgage check PASS at 6.5% rate stress
13.44% Return before costs — above-market
14.7% Rent by the room Return before costs — conversion play
Price
£155K
21% below sold comps
Return before costs (best)
14.73%
Rent by the room
Bedrooms
3
— 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: £1,455–£2,071/mo · n=11
Financing
DepositYour cash in — the rest is the mortgage25% · £38,750
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 (£11,333–£21,155 range), VAT-inclusive
Legal + survey (£)
Leasehold flat — £1,500 legal + £500 survey
Mortgage fees (£)
2% product fee on £116,250 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 sub-£200K
Maintenance (£/mo)
Semi/flat: £67/mo proxy
Leasehold costs
Result · Rent it out
Monthly profit
+£289
after mortgage, operating costs & tax
Rent in£1,736/mo gross
£1,669/mo collected · £67/mo lost to voids
Where it goes
£630Mortgage£683Costs£289Your profit
£289/mo left as profit · 17% of rent kept
Mortgage£630
Costs£683
Management£174
Maintenance£67
Insurance£20
CapEx reserve£87
Voids + council tax£6
Service charge + ground rent£226
Ltd co. accounts£104
Tax£68
Profit+£289
Returns
Return before costs on price13.44%
Cash return on cash5.13%
Gross margin£986
Cash needed£67,536
Monthly profit payback19y 6m
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress2.65
Rent-covers-mortgage check PASS · stress 6.5% (target 1.45)
Housing-benefit (LHA) scheme detailBRMA Southampton · cap £1,072/mo
Housing-benefit rent scheme detail
- Rental Market Area (BRMA):
- Southampton
- LHA monthly cap:
- £1,072
- Scheme type:
- PSL
- Premium:
- +800% premium over LHA cap
- Typical lease:
- 0 years lease
- Management:
- management covered by council
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 | £20,832 | £8,197 | £7,556 | £0 | £965 | £4,114 | £4,114 |
| Year 2 | £21,457 | £8,443 | £7,556 | £0 | £1,037 | £4,421 | £8,535 |
| Year 3 | £22,101 | £8,696 | £7,556 | £0 | £1,111 | £4,737 | £13,272 |
| Year 4 | £22,764 | £8,957 | £7,556 | £0 | £1,188 | £5,063 | £18,335 |
| Year 5 | £23,447 | £9,226 | £7,556 | £0 | £1,266 | £5,399 | £23,734 |
Rent by the room upside
What we verified
5207
Legal & planning▾
Article 4HMO restriction lookupUnknown
Rent by the room licensingMandatory if 5+ unrelatedCheck LPA
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
Service chargeReduces net yield£2,687/yr
Ground rentDoubling clauses kill mortgageability£25/yr
Area▾
Crimepolice.uk · monthlyChecking…
SchoolsGIAS · OfstedChecking…
FloodEA Flood Map · England onlyChecking…
Investor profile▾
Tenant profileBeds + postcode heuristicFamily / Rent by the room
Rent by the room feasibilityMin 3 beds for C4 routeFeasible
Comparables
sold within 0.5 miWide · CV 26.4%Med confidence
Loading nearby sold…
Location & transport
Tax & exit
Tax bandLtd Co 25%
Mortgage-interest tax rule credit£1,511
Annual rental tax£813
CGT yr 5£0 · company level
5y net total£23,734
Acquisition costs
25% deposit£38,750
Stamp duty£8,350
Refurb£15,111
Legal + survey£2,000
Mortgage + broker£3,325
Cash needed£67,536
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 copyRightmove
This well presented, split-level apartment is located in the heart of Southampton and would make an ideal investment or first purchase.
Benefits include three well-proportioned bedrooms, three spacious balconies with attractive views, and a contemporary kitchen and bathroom.
The apartment, which is located in Castle House, offers versatile accommodation across two floors.
As you enter on the second floor, there is a welcoming hallway, with stairs leading to the main accomm…
Floor plans
Listing
Sources: Rightmove · HM Land Registry · Ofsted · EA Flood Zones
Estimates not financial advice
Estimates not financial advice