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Year 5 disposal
⊞ View all 5
85/ 100
Strong
Strong investment fundamentals.
Why it works
- 14.85% return before costs — above-market
- 6.0% 5y IRR — strong total return on capital
- Stress Rent-covers-mortgage check PASS at 6.5% rate stress — lender-friendly
Why to be cautious
- No rent comparables — estimate is a rule-of-thumb fallback, not market data. Verify the rent locally before offering.
- 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
+£189/mo
Barely breaks even each month
Price
£70K
No local sold comps to compare
Return · IRR
6.0%/yr
Modest annualised return
Cash to get in
£40K
Deposit + fees + refurb
Return before costs on price 14.85%5-yr return on cash 37%Rent est. £866 (£740–£1,013)
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: £740–£1,013/mo · n=99
Financing
DepositYour cash in — the rest is the mortgage25% · £17,500
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 £52,500 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)
Semi/flat: £67/mo proxy
Leasehold costs
Result · Rent it out
Monthly profit
+£189
after mortgage, operating costs & tax
Rent in£866/mo gross
£833/mo collected · £33/mo lost to voids
Where it goes
£273Mortgage£326Costs£189Your profit
£189/mo left as profit · 23% of rent kept
Mortgage£273
Costs£326
Management£87
Maintenance£67
Insurance£20
CapEx reserve£43
Voids + council tax£5
Ltd co. accounts£104
Tax£44
Profit+£189
Returns
Return before costs on price14.85%
Cash return on cash5.69%
Gross margin£507
Cash needed£39,861
Monthly profit payback17y 7m
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress2.93
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 | £10,392 | £3,911 | £3,281 | £0 | £608 | £2,591 | £2,591 |
| Year 2 | £10,704 | £4,029 | £3,281 | £0 | £645 | £2,749 | £5,340 |
| Year 3 | £11,025 | £4,149 | £3,281 | £0 | £683 | £2,911 | £8,251 |
| Year 4 | £11,356 | £4,274 | £3,281 | £0 | £722 | £3,078 | £11,330 |
| Year 5 | £11,696 | £4,402 | £3,281 | £0 | £762 | £3,251 | £14,581 |
Disposal gain (gross)-£14,957
CGT£0
Net Disposal proceeds£75,354
What we verified
What we verified
50065 ok · 0 caution · 0 fail · 6 unknown
Legal & planning
LeaseholdFreehold
Tenure & planningFreehold
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
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
SchoolsNo postcode
Schools& Ofsted catchmentGIAS register
No schools indexed for this postcode sector.
Investor
Tenant profileFamily let
Tenant profilelikely cohort3 bed
Primary profile
Family let
Nearest university
for student-let assessment
Northumbria · 54 km
Reason
3-bed house in a suburban area — family-let demand dominates; check local school catchment ratings.
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 · 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 history35d on marketno cuts yet
Strategy matrix
Rent by the room wins — +£314/mo · £125/mo ahead of Rent it out (after room-conversion)
| Strategy | Return before costs on price | Monthly profit | Cash needed | 5y Return on your cash on cash | Risk | Feasibility |
|---|---|---|---|---|---|---|
| Rent it out | 14.85% | +£189 | £39,861 | 36.6% | Low | Feasible |
| Housing-benefit rent | 11.14% | +£12 | £39,861 | 10.5% | Med | Feasible |
| Council lease | 0.00% | -£465 | £39,861 | -71.7% | Low | Feasible |
| Refurb & refinance | 14.85% | +£189 | £49,405 | 29.5% | Med | Feasible |
| Short-stay let / Airbnb | — | — | — | — | — | Disabledno local short-let data |
| Buy, improve & sell | 0.00% | -£191 | £96,355 | -12% | Med | Feasible |
| ⭐ Rent by the room | 30.86% | +£314 | £39,861 | 70.2% | — | 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
+£415/mo cash flow vs Rent it out if converted to Rent by the room
41.14% Return before costs on price converted vs 14.85% as-is
As-is Rent it out
Monthly profit+£183
Return before costs on price14.85%
Cash needed£29,398
If converted to Rent by the room
Monthly profit+£599
Return before costs on price41.14%
Cash needed£45,398
Δ vs Rent it out Monthly profit+£415
Show conversion detail
Conversion cost estimate
£42,000
Range: £35,700 – £48,300
Fire safety, plumbing, partitioning, licensing.
Rates as of Apr 2026
Planning approval likelihood
Likely approvable · 69% likely
low confidence
- Article 4 direction applies — planning permission required for C3->C4 HMO
- no known HMOs within 100m (below threshold)
- no local HMO decisions on record
≈0.0% within 100 m vs 10% policy
Council HMO policy not curated — assessed against a 10% / 100 m default; a low/absent count reflects register coverage, not zero nearby HMOs.
£22,346–£42,000full refurb + room split
⚠️ Capped at 60% of £70,000 asking (£42,000). Raw model: £48,990–£92,080. Verify with a surveyor before offering.
What's in this cost
- Kitchen£3,941–£7,882
- 1 × bathroom£2,600–£4,767
- Rewire£1,806–£3,161
- Replumb£1,355–£2,709
- Windows£4,516–£8,128
- Paint + decor£3,161–£5,870
- Flooring£4,967–£9,483
Comparables
sold within 0.5 miLoading nearby sold…
Location & area intelligence
Transport score100 / 100
On the map
- Registered HMOs
- Approved HMO conversions
- Pending HMO applications
Middlesbrough City-wide HMO Article 4
≈0.0% within 100 m vs 10% policy
Council HMO policy not curated — assessed against a 10% / 100 m default; a low/absent count reflects register coverage, not zero nearby HMOs.
Tax treatment
Annual gross rent£10,392
Section 24 credit£0
Annual tax due£608
Post-tax Monthly profit annual£2,192
Exit costs
Projected sale price (5y · 2%/yr growth)£77,286
Capital gain (pre-CGT)£7,286
Sale costs (~2.5%)£1,932
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£14,581
Rates as of Oct 2024
Acquisition costs
£39,861cash neededPurchase price£70,000
Deposit (25%)£17,500
Stamp duty+5% additional-property surcharge£3,500
Refurb£15,111
Legal + survey£1,700
Mortgage fees£2,050
Total cash neededdeposit + costs (loan covers the rest)£39,861
Green = verified data. Amber = market typical. Red = our estimate — verify before offering.
About this propertydescription · onthemarket
Description& agent copyOnTheMarket
SUMMARY This well-presented three-bedroom semi-detached home offers comfortable and practical accommodation, making it an ideal choice for first-time buyers, growing families and investors alike.
DESCRIPTION This well-presented three-bedroom semi-detached home offers comfortable and practical accommodation, making it an ideal choice for first-time buyers, growing families and investors alike. The ground floor comprises a welcoming family lounge and a well-appointed kitchen,…
Floor plans
Listing metaonthemarket · Manners & Harrison - Marton, Middlesbrough
About this listing
35 days · OnTheMarketPrice history
No price history available.
Monthly profit
+£189
Cash needed
£40K
Return after costs
5.69%
IRR
6.05%
Listed 35d ago
Downham Avenue, Middlesbrough, Middlesbrough
semi-detached · 3 bed · 1 bath
£70,000
est £866 · 14.85% gross
1 / 5
85/100
Strong
Real 14.85% — fundamentals work.
Stress Rent-covers-mortgage check PASS at 6.5% rate stress
14.85% Return before costs — above-market
Price
£70K
Return before costs
14.85%
est rent £866/monot enough comparablesRange £740–£1,013/mo (Q1–Q3)
Bedrooms
3
1 bath
Energy rating
—
Energy rating
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: £740–£1,013/mo · n=99
Financing
DepositYour cash in — the rest is the mortgage25% · £17,500
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 £52,500 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)
Semi/flat: £67/mo proxy
Leasehold costs
Result · Rent it out
Monthly profit
+£189
after mortgage, operating costs & tax
Rent in£866/mo gross
£833/mo collected · £33/mo lost to voids
Where it goes
£273Mortgage£326Costs£189Your profit
£189/mo left as profit · 23% of rent kept
Mortgage£273
Costs£326
Management£87
Maintenance£67
Insurance£20
CapEx reserve£43
Voids + council tax£5
Ltd co. accounts£104
Tax£44
Profit+£189
Returns
Return before costs on price14.85%
Cash return on cash5.69%
Gross margin£507
Cash needed£39,861
Monthly profit payback17y 7m
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress2.93
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 | £10,392 | £3,911 | £3,281 | £0 | £608 | £2,591 | £2,591 |
| Year 2 | £10,704 | £4,029 | £3,281 | £0 | £645 | £2,749 | £5,340 |
| Year 3 | £11,025 | £4,149 | £3,281 | £0 | £683 | £2,911 | £8,251 |
| Year 4 | £11,356 | £4,274 | £3,281 | £0 | £722 | £3,078 | £11,330 |
| Year 5 | £11,696 | £4,402 | £3,281 | £0 | £762 | £3,251 | £14,581 |
Rent by the room upside
What we verified
5006
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▾
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 · OfstedNo postcode
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 miLoading nearby sold…
Location & transport
Tax & exit
Tax bandLtd Co 25%
Mortgage-interest tax rule credit£656
Annual rental tax£532
CGT yr 5£0 · company level
5y net total£14,581
Acquisition costs
25% deposit£17,500
Stamp duty£3,500
Refurb£15,111
Legal + survey£1,700
Mortgage + broker£2,050
Cash needed£39,861
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 copyOnTheMarket
SUMMARY This well-presented three-bedroom semi-detached home offers comfortable and practical accommodation, making it an ideal choice for first-time buyers, growing families and investors alike.
DESCRIPTION This well-presented three-bedroom semi-detached home offers comfortable and practical accommodation, making it an ideal choice for first-time buyers, growing families and investors alike. The ground floor comprises a welcoming family lounge and a well-appointed kitchen,…
Floor plans
Listing
Sources: Rightmove · HM Land Registry · Ofsted · EA Flood Zones
Estimates not financial advice
Estimates not financial advice