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Year 5 disposal
⊞ View all 5
0/ 100
Weak
No rent data on file — verify locally before offering.
Why it works
Why to be cautious
- Service charge unknown — could swing £100-300/mo
- Monthly profit −£779/mo — heavily negative — needs monthly capital injection
- 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
−£779/mo
You top up £779/mo
Price
£100K
No local sold comps to compare
Return · IRR
—
Not modelled
Cash to get in
£45K
Deposit + fees + refurb
5-yr return on cash -106%
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 (£)
No rent data — verify locally
Financing
DepositYour cash in — the rest is the mortgage25% · £25,000
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 (£8,073–£15,070 range), VAT-inclusive
Legal + survey (£)
Leasehold flat — £1,500 legal + £500 survey
Mortgage fees (£)
2% product fee on £75,000 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
-£779
after mortgage, operating costs & tax
Rent in£0/mo
Where it goes
£406Mortgage£373Costs
Outgoings exceed rent — you top up £779/mo
Mortgage£406
Costs£373
Maintenance£67
Insurance£20
Voids + council tax£7
Service charge + ground rent£175
Ltd co. accounts£104
Tax—
Shortfall−£779
Returns
Return before costs on price0.00%
Cash return on cash-20.65%
Gross margin-£373
Cash needed£45,264
Monthly profit paybackn/a (monthly loss)
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress0.00
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 | £0 | £4,472 | £4,875 | £0 | £0 | -£9,347 | -£9,347 |
| Year 2 | £0 | £4,606 | £4,875 | £0 | £0 | -£9,481 | -£18,828 |
| Year 3 | £0 | £4,744 | £4,875 | £0 | £0 | -£9,619 | -£28,448 |
| Year 4 | £0 | £4,887 | £4,875 | £0 | £0 | -£9,762 | -£38,209 |
| Year 5 | £0 | £5,033 | £4,875 | £0 | £0 | -£9,908 | -£48,117 |
Disposal gain (gross)-£10,116
CGT£0
Net Disposal proceeds£107,648
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 profileStudent let
Tenant profilelikely cohortSO16 · 2 bed
Primary profile
Student let
Nearest university
for student-let assessment
University of Southampton · 1.2 km
Reason
1.2 km from a major UK university — student couples / individuals dominate 2-bed lets here.
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 · 1-bath · 810 sqft
£22k–£43k
£ per sqft
building cost only
£27–£53
Per-item breakdown (4 lines)
- Kitchen · Full unit replacement£3,840–£8,640
- 1 × bathroom · Full strip + retile£3,325–£6,650
- Paint + decor£5,670–£10,530
- Flooring · Carpet on bedrooms + LVT/laminate downstairs£8,910–£17,010
Guide rates · UK May 2026 · sqft auto-estimated from beds
Tier-based bands — get a builder quote before exchanging.
Rent by the room licensingN/A
Price & sale history24d on marketno cuts yet
Strategy matrix
Council lease wins — -£772/mo · £7/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 | 0.00% | -£779 | £45,264 | -106.3% | Low | Feasible |
| Housing-benefit rent | 0.00% | -£785 | £45,264 | -107.2% | Med | Feasible |
| ⭐ Council lease | 0.00% | -£772 | £45,264 | -105.4% | Low | Feasible |
| Refurb & refinance | 0.00% | -£779 | £54,570 | -88.2% | Med | Feasible |
| Short-stay let / Airbnb | — | — | — | — | — | Disabledno local short-let data |
| Buy, improve & sell | 0.00% | -£366 | £122,070 | -2% | Med | Feasible |
| Rent by the room | — | — | — | — | — | Disabledneeds 3+ beds |
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
+£1,097/mo cash flow vs Rent it out if converted to Rent by the room
28.80% Return before costs on price converted vs 0.00% as-is
As-is Rent it out
Monthly profit-£594
Return before costs on price0.00%
Cash needed£36,898
If converted to Rent by the room
Monthly profit+£504
Return before costs on price28.80%
Cash needed£52,898
Δ vs Rent it out Monthly profit+£1,097
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
£44,000
Range: £38,000 – £52,000
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
£31,866–£60,000full refurb + room split
⚠️ Capped at 60% of £100,000 asking (£60,000). Raw model: £42,690–£80,380. Verify with a surveyor before offering.
What's in this cost
- Kitchen£6,449–£12,899
- 1 × bathroom£4,255–£7,800
- Rewire£2,419–£4,232
- Replumb£1,814–£3,628
- Windows£6,046–£10,883
- Paint + decor£4,232–£7,860
- Flooring£6,651–£12,697
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
Southampton City-wide HMO Article 4
≈0.0% within 40 m vs 10% policy
Tax treatment
Annual gross rent£0
Section 24 credit£0
Annual tax due£0
Post-tax Monthly profit annual-£9,347
Exit costs
Projected sale price (5y · 2%/yr growth)£110,408
Capital gain (pre-CGT)£10,408
Sale costs (~2.5%)£2,760
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-£48,117
Rates as of Oct 2024
Acquisition costs
£45,264cash neededPurchase price£100,000
Deposit (25%)£25,000
Stamp duty+5% additional-property surcharge£5,000
Refurb£10,764
Legal + survey£2,000
Mortgage fees£2,500
Total cash neededdeposit + costs (loan covers the rest)£45,264
Green = verified data. Amber = market typical. Red = our estimate — verify before offering.
About this propertydescription · onthemarket
Description& agent copyOnTheMarket
The Property Situated within the popular and well-maintained Chestnut Lodge retirement development for the over 55s, this spacious two-bedroom flat offers comfortable, low-maintenance living in a welcoming community setting. Benefiting from off-road parking and attractive communal areas, the property is ideally suited to those seeking a secure and convenient lifestyle.
The accommodation is accessed via a welcoming entrance hall, which includes a useful storage cupboard, prov…
Floor plans
Listing metaonthemarket · Purplebricks - Covering Southampton
About this listing
24 days · OnTheMarketPrice history
5-year price trend
Monthly profit
−£779
Cash needed
£45K
Return after costs
-20.65%
IRR
—
Listed 24d ago
Sherwood Close, Southampton, SO16, Southampton, SO16
flat · 2 bed · 1 bath
£100,000
1 / 5
0/100
Marginal
No rent data — verify locally before offering.
Monthly profit −£779/mo at the default 25% deposit @ 5.5% — open the calculator to stress-test.
Price
£100K
Return before costs
—
rent unknown
Bedrooms
2
1 bath
Energy rating
—
Energy rating
Deal flags1 issue
Retirement only
Age-restricted resale; limited buyer pool
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 (£)
No rent data — verify locally
Financing
DepositYour cash in — the rest is the mortgage25% · £25,000
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 (£8,073–£15,070 range), VAT-inclusive
Legal + survey (£)
Leasehold flat — £1,500 legal + £500 survey
Mortgage fees (£)
2% product fee on £75,000 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
-£779
after mortgage, operating costs & tax
Rent in£0/mo
Where it goes
£406Mortgage£373Costs
Outgoings exceed rent — you top up £779/mo
Mortgage£406
Costs£373
Maintenance£67
Insurance£20
Voids + council tax£7
Service charge + ground rent£175
Ltd co. accounts£104
Tax—
Shortfall−£779
Returns
Return before costs on price0.00%
Cash return on cash-20.65%
Gross margin-£373
Cash needed£45,264
Monthly profit paybackn/a (monthly loss)
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress0.00
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 | £0 | £4,472 | £4,875 | £0 | £0 | -£9,347 | -£9,347 |
| Year 2 | £0 | £4,606 | £4,875 | £0 | £0 | -£9,481 | -£18,828 |
| Year 3 | £0 | £4,744 | £4,875 | £0 | £0 | -£9,619 | -£28,448 |
| Year 4 | £0 | £4,887 | £4,875 | £0 | £0 | -£9,762 | -£38,209 |
| Year 5 | £0 | £5,033 | £4,875 | £0 | £0 | -£9,908 | -£48,117 |
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£975
Annual rental tax£0
CGT yr 5£0 · company level
5y net total-£48,117
Acquisition costs
25% deposit£25,000
Stamp duty£5,000
Refurb£10,764
Legal + survey£2,000
Mortgage + broker£2,500
Cash needed£45,264
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
The Property Situated within the popular and well-maintained Chestnut Lodge retirement development for the over 55s, this spacious two-bedroom flat offers comfortable, low-maintenance living in a welcoming community setting. Benefiting from off-road parking and attractive communal areas, the property is ideally suited to those seeking a secure and convenient lifestyle.
The accommodation is accessed via a welcoming entrance hall, which includes a useful storage cupboard, prov…
Floor plans
Listing
Sources: Rightmove · HM Land Registry · Ofsted · EA Flood Zones
Estimates not financial advice
Estimates not financial advice