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Year 5 disposal
70/ 100
Solid
Real 14.41% Rent by the room return before costs with manageable risks.
Why it works
- 9.86% return before costs — above-market
- 14.4% Rent by the room return before costs (net 7.13% after CapEx + bills) — conversion play
- Stress Rent-covers-mortgage check PASS at 6.5% rate stress — lender-friendly
- Tenanted in situ — instant Monthly profit from completion
Why to be cautious
- EPC D — must hit C by 2030 (~£3,000–£7,000)
- 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
+£146/mo
Barely breaks even each month
Price
£130K
No local sold comps to compare
Return · IRR
3.5%/yr
Modest annualised return
Cash to get in
£59K
Deposit + fees + refurb
Return before costs on price · Rent by the room 14.41%5-yr return on cash 22%Rent est. £1,068 (£949–£1,202)
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
Buy-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: £949–£1,202/mo · n=16
Financing
DepositYour cash in — the rest is the mortgage25% · £32,500
Standard 75% LTV for BTL
Mortgage rate5y fixed5.5%
5-year fixed (market average) — 5.50% (as of 2026-05).
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 (£)
Standard house — £1,100 legal + £600 survey
Mortgage fees (£)
2% product fee on £97,500 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 sub-£200K
Maintenance (£/mo)
Terraced: £50/mo proxy (shared structure)
Leasehold costs
Result · Rent it out
Monthly profit
+£146
after mortgage, operating costs & tax
Rent in£1,068/mo gross
£1,027/mo collected · £41/mo lost to voids
Where it goes
£508Mortgage£339Costs
£146/mo left as profit · 14% of rent kept
Mortgage£508
Costs£339
Management£107
Maintenance£50
Insurance£20
CapEx reserve£53
Voids + council tax£5
Ltd co. accounts£104
Tax£34
Profit+£146
Returns
Return before costs on price9.86%
Cash return on cash2.97%
Gross margin£688
Cash needed£58,861
Monthly profit payback33y 8m
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress1.94
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 | £12,816 | £4,071 | £6,094 | £0 | £504 | £2,147 | £2,147 |
| Year 2 | £13,200 | £4,193 | £6,094 | £0 | £554 | £2,360 | £4,507 |
| Year 3 | £13,596 | £4,319 | £6,094 | £0 | £605 | £2,579 | £7,086 |
| Year 4 | £14,004 | £4,448 | £6,094 | £0 | £658 | £2,804 | £9,890 |
| Year 5 | £14,425 | £4,582 | £6,094 | £0 | £712 | £3,037 | £12,927 |
Disposal gain (gross)-£13,469
CGT£0
Net Disposal proceeds£139,942
What we verified
What we verified
41064 ok · 1 caution · 0 fail · 6 unknown
Legal & planning
LeaseholdFreehold
Tenure & planningFreehold
Legal & planning
2 checks- TenureUnknown
- Lease lengthUnknown
Building condition
Energy ratingD
EPC& 2030 deadlineEPC register
▼
ABCDEFG
Current rating
From listing descriptionBand D
MEES 2030 compliance
C required for new tenancies
FAIL
Upgrade to C
estimated cost
£3k–£7k
EPC band from listing · verify certificate before exchanging
Find EPC certificate →Cladding safety certificateNot stated on the listing
HeritageNot stated on the listing
Area
Flood riskNo location
Crime riskNo location
SchoolsNo postcode
Investor
Tenant profileUnknown
Refurb costEstimate ready
Refurb cost& works budgetQ1 2026 rates
New kitchen + bathroom + light replumb + decor.
Total estimate
3-bed · 1-bath · 990 sqft
£25k–£49k
£ per sqft
building cost only
£25–£49
Per-item breakdown (4 lines)
- Kitchen · Full unit replacement£3,840–£8,640
- 1 × bathroom · Full strip + retile£3,325–£6,650
- 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 history212d on market2 price changes
Sale price historythis address, HM Land RegistryPrice-Paid Data
Asking vs last sale
£124,000 in 2020 → £130,000 asking
+4.8%in 6y
- 2020£124,000+42.5% in 13y
- 2007£87,000+112.2% in 6y
- 2001£41,000—
HM Land Registry · Price-Paid Data (Open Government Licence). Growth percentages are nominal — not adjusted for inflation or local market movement.
Strategy matrix
Rent it out wins — +£146/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 | 9.86% | +£146 | £58,861 | 22.0% | Low | Feasible |
| Housing-benefit rent | 6.81% | -£136 | £58,861 | -5.4% | Med | Feasible |
| Council lease | 0.00% | -£682 | £58,861 | -70.6% | Low | Feasible |
| Refurb & refinance | 9.86% | +£146 | £71,405 | 18.1% | Med | Feasible |
| Short-stay let / Airbnb | — | — | — | — | — | Disabledno local short-let data |
| Buy, improve & sell | 0.00% | -£174 | £159,455 | -1% | Med | Feasible |
| Rent by the room | 14.41% | -£605 | £83,500 | -34.7% | — | Feasible |
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
+£283/mo cash flow vs Rent it out if converted to Rent by the room
22.15% Return before costs on price converted vs 9.86% as-is
£130k → 4-bed HMO @ ~£442/room: £1,737 pcm gross, ~£995 pcm net (8.0% net on £149k all-in incl. ~£10k works)
high confidence
Unlocks ~£6,244/yr extra rent
3 → 4 lettable rooms
Potential, not guaranteed (subject to planning + regs). Estimate from the EPC certificate — verify room sizes against the floorplan before offering.
How we calculated this
floorplan shows 5 habitable rooms (3 beds + 2 reception(s)) in 78 m²; convert 1 spare room(s) to bedrooms, keeping one reception as the lounge → up to 4 lettable rooms; sized to Newcastle-under-Lyme adopted standard (6.51/11 m²; Newcastle-under-Lyme BC HMO standards - shared houses (council web pages, undated)); adds ~£520/mo; loft conversion may add 1-2 further rooms (subject to head height/planning — not counted)
🔒 Room-add markup · Pro
Pro members see the floorplan with every convertible room outlined in green. Verify room sizes before offering.
3 → 4 bed HMO+1 single
Sized to Newcastle-under-Lyme's adopted HMO standards
Projections use documented assumptions (local room rates, typical conversion costs, 75% LTV at 5.5%, indicative regional valuation yields) and each council’s published HMO standards. Not financial advice. Verify room sizes, licensing and planning with the council and a surveyor before purchase.
Room mix (3 lettable rooms)
2× Double @ £561/mo1× Single @ £440/mo
≈ £1,561/mo gross room income
As-is Rent it out
Monthly profit+£126
Return before costs on price9.86%
Cash needed£44,398
If converted to Rent by the room
Monthly profit+£409
Return before costs on price22.15%
Cash needed£60,398
Δ vs Rent it out Monthly profit+£283
+1 room (4 total)
Monthly profit+£222
Return before costs on price19.21%
Cash needed£70,398
Extra rent+£520/mo
Show conversion detail
Conversion cost estimate
£48,000
Range: £42,000 – £56,000
Fire safety, plumbing, partitioning, licensing.
Rates as of Apr 2026
£41,499–£78,000full refurb + room split
⚠️ Capped at 60% of £130,000 asking (£78,000). Raw model: £48,990–£92,080. Verify with a surveyor before offering.
What's in this cost
- Kitchen£7,319–£14,638
- 1 × bathroom£4,828–£8,852
- Rewire£3,354–£5,870
- Replumb£2,516–£5,032
- Windows£8,386–£15,095
- Paint + decor£5,870–£10,902
- Flooring£9,225–£17,611
Based on 4015 HMO comps within 3.9 km
Comparables
sold within 0.5 miLoading nearby sold…
Location & area intelligence
No coordinates available — verify address with the agent.
Transport score100 / 100
Schools & catchment4 schools nearby
Nearby schoolsOfsted-rated, nearest first4 of 5
- GoodHassell Primary SchoolPrimary · Community school · ST5 1LF
- Not ratedDemetae AcademyNot applicable · Other independent school · ST5 1JF
- Not ratedLyme Brook Independent SchoolNot applicable · Other independent special school · ST5 1JB
- Not ratedNewcastle-under-Lyme SchoolNot applicable · Other independent school · ST5 1DB
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£12,816
Section 24 credit£0
Annual tax due£504
Post-tax Monthly profit annual£1,654
Exit costs
Projected sale price (5y · 2%/yr growth)£143,531
Capital gain (pre-CGT)£13,531
Sale costs (~2.5%)£3,588
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£12,927
Rates as of Oct 2024
Acquisition costs
£58,861cash neededPurchase price£130,000
Deposit (25%)£32,500
Stamp duty+5% additional-property surcharge£6,600
Refurb£15,111
Legal + survey£1,700
Mortgage fees£2,950
Total cash neededdeposit + costs (loan covers the rest)£58,861
Green = verified data. Amber = market typical. Red = our estimate — verify before offering.
About this propertydescription · rightmove
Description& agent copyRightmove
LOUNGE 12' 0" x 11' 10" (3.66m x 3.63m) Entered via a composite front door, double glazed window to front elevation, radiator.
DINING ROOM 12' 0" x 11' 5" (3.66m x 3.49m) Double glazed window to the rear elevation, stairs to first floor with storage under, radiator.
KITCHEN 9' 10" x 6' 9" (3.00m x 2.08m) Fitted with a range of wall and base units with worksurface over which incorporates a stainless steel sink unit and drainer, integrated oven and hob, with extractor fan ove…
Listing metarightmove · Martin & Co
About this listing
212 days · RightmovePrice history
No price history available.
Monthly profit
+£146
Cash needed
£59K
Return after costs
2.97%
IRR
3.49%
Listed 212d ago
3 bedroom terraced house for sale
✓ Verified address
terraced · 3 bed · 1 bath
£130,000
est £1,068 · 9.86% gross
EPC D
70/100
Solid
Real 14.41% — fundamentals work.
Stress Rent-covers-mortgage check PASS at 6.5% rate stress
9.86% Return before costs — above-market
14.4% Rent by the room Return before costs — conversion play
Energy rating D — must hit C by 2030 (~£3,000–£7,000)
Price
£130K
Return before costs (best)
14.41%
Rent by the room
Bedrooms
3
1 bath
Energy rating
D
Energy rating
Deal flags1 issue
EPC D — upgrade by 2030
Must reach EPC C by 2030 to let on a new tenancy
Run the numbers
What-if calculator
Buy-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: £949–£1,202/mo · n=16
Financing
DepositYour cash in — the rest is the mortgage25% · £32,500
Standard 75% LTV for BTL
Mortgage rate5y fixed5.5%
5-year fixed (market average) — 5.50% (as of 2026-05).
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 (£)
Standard house — £1,100 legal + £600 survey
Mortgage fees (£)
2% product fee on £97,500 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 sub-£200K
Maintenance (£/mo)
Terraced: £50/mo proxy (shared structure)
Leasehold costs
Result · Rent it out
Monthly profit
+£146
after mortgage, operating costs & tax
Rent in£1,068/mo gross
£1,027/mo collected · £41/mo lost to voids
Where it goes
£508Mortgage£339Costs
£146/mo left as profit · 14% of rent kept
Mortgage£508
Costs£339
Management£107
Maintenance£50
Insurance£20
CapEx reserve£53
Voids + council tax£5
Ltd co. accounts£104
Tax£34
Profit+£146
Returns
Return before costs on price9.86%
Cash return on cash2.97%
Gross margin£688
Cash needed£58,861
Monthly profit payback33y 8m
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress1.94
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 | £12,816 | £4,071 | £6,094 | £0 | £504 | £2,147 | £2,147 |
| Year 2 | £13,200 | £4,193 | £6,094 | £0 | £554 | £2,360 | £4,507 |
| Year 3 | £13,596 | £4,319 | £6,094 | £0 | £605 | £2,579 | £7,086 |
| Year 4 | £14,004 | £4,448 | £6,094 | £0 | £658 | £2,804 | £9,890 |
| Year 5 | £14,425 | £4,582 | £6,094 | £0 | £712 | £3,037 | £12,927 |
Rent by the room upside
What we verified
5104
Legal & planning▾
Article 4HMO restriction lookupUnknown
Rent by the room licensingMandatory if 5+ unrelatedCheck LPA
TenureTenure typeFreehold
HeritageListed building / conservation areaNot stated on the listing
Building condition▾
EPC~£3,000–£7,000 to upgrade to CD
EWS1External wall safety (cladding)Not stated on the listing
Refurb costBased on beds + baths + sqftEstimate available
Area▾
Crimepolice.uk · monthlyNo location
SchoolsGIAS · OfstedNo postcode
FloodEA Flood Map · England onlyNo location
Investor profile▾
Tenant profileBeds + postcode heuristicUnknown
Rent by the room feasibilityMin 3 beds for C4 routeFeasible
TenantMonthly profit from day oneIn situ
Comparables
sold within 0.5 miLoading nearby sold…
Tax & exit
Tax bandLtd Co 25%
Mortgage-interest tax rule credit£1,219
Annual rental tax£410
CGT yr 5£0 · company level
5y net total£12,927
Acquisition costs
25% deposit£32,500
Stamp duty£6,600
Refurb£15,111
Legal + survey£1,700
Mortgage + broker£2,950
Cash needed£58,861
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
LOUNGE 12' 0" x 11' 10" (3.66m x 3.63m) Entered via a composite front door, double glazed window to front elevation, radiator.
DINING ROOM 12' 0" x 11' 5" (3.66m x 3.49m) Double glazed window to the rear elevation, stairs to first floor with storage under, radiator.
KITCHEN 9' 10" x 6' 9" (3.00m x 2.08m) Fitted with a range of wall and base units with worksurface over which incorporates a stainless steel sink unit and drainer, integrated oven and hob, with extractor fan ove…
Floor plans
Listing
Sources: Rightmove · HM Land Registry · Ofsted · EA Flood Zones
Estimates not financial advice
Estimates not financial advice