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Year 5 disposal
⊞ View all 5
0/ 100
Weak
4.00% Rent by the room return before costs — verify the rent + comps locally.
Why it works
Why to be cautious
- 3.02% return — below most lender Rent-covers-mortgage checks
- Monthly profit −£1,749/mo — heavily negative — needs monthly capital injection
- -8.3% 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
−£2K/mo
You top up £2K/mo
Price
£800K
No local sold comps to compare
Return · IRR
-8.3%/yr
Loses money over 5 years
Cash to get in
£305K
Deposit + fees + refurb
Return before costs on price · Rent by the room 4.00%5-yr return on cash -31%Rent est. £2,012 (£1,990–£2,034)
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: £1,990–£2,034/mo · n=9
Financing
DepositYour cash in — the rest is the mortgage25% · £200,000
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 (£14,594–£27,241 range), VAT-inclusive
Legal + survey (£)
Standard house — £1,900 legal + £1,000 survey
Mortgage fees (£)
2% product fee on £600,000 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 £400K+
Maintenance (£/mo)
Detached: £100/mo proxy (more roof + grounds)
Leasehold costs
Result · Rent it out
Monthly profit
-£1,749
after mortgage, operating costs & tax
Rent in£2,012/mo gross
£1,935/mo collected · £77/mo lost to voids
Where it goes
£3,125Mortgage
Outgoings exceed rent — you top up £1,749/mo
Mortgage£3,125
Costs£558
Management£201
Maintenance£100
Insurance£40
CapEx reserve£101
Voids + council tax£12
Ltd co. accounts£104
Tax—
Shortfall−£1,749
Returns
Return before costs on price3.02%
Cash return on cash-6.87%
Gross margin£1,376
Cash needed£305,358
Monthly profit paybackn/a (monthly loss)
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress0.60
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 | £24,144 | £6,698 | £37,500 | £0 | £0 | -£20,054 | -£20,054 |
| Year 2 | £24,868 | £6,899 | £37,500 | £0 | £0 | -£19,530 | -£39,584 |
| Year 3 | £25,614 | £7,105 | £37,500 | £0 | £0 | -£18,991 | -£58,575 |
| Year 4 | £26,383 | £7,319 | £37,500 | £0 | £0 | -£18,436 | -£77,011 |
| Year 5 | £27,174 | £7,538 | £37,500 | £0 | £0 | -£17,864 | -£94,875 |
Disposal gain (gross)-£31,175
CGT£0
Net Disposal proceeds£861,183
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
▼
ABCDEFG
Current rating
from listing
Band C
MEES 2030 compliance
C required for new tenancies
PASS
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 cohort4 bed
Primary profile
Family let
Secondary profile
HMO / sharers
Nearest university
for student-let assessment
University of Brighton · 24.4 km
Reason
4-bed house in a suburban area — family-let demand dominates; larger property may also work as a sharer HMO.
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
4-bed · 2-bath · 1170 sqft
£32k–£62k
£ per sqft
building cost only
£27–£53
Per-item breakdown (4 lines)
- Kitchen · Full unit replacement£3,840–£8,640
- 2 × bathroom · Full strip + retile£6,650–£13,300
- Paint + decor£8,190–£15,210
- Flooring · Carpet on bedrooms + LVT/laminate downstairs£12,870–£24,570
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 history24d on marketno cuts yet
Strategy matrix
Rent it out wins — -£1,749/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 | 3.02% | -£1,749 | £305,358 | -31.1% | Low | Feasible |
| Housing-benefit rent | 2.99% | -£1,891 | £305,358 | -32.5% | Med | Feasible |
| Council lease | 0.00% | -£3,369 | £305,358 | -66.5% | Low | Feasible |
| Refurb & refinance | 3.02% | -£1,749 | £353,141 | -26.9% | Med | Feasible |
| Short-stay let / Airbnb | 0.11% | -£3,326 | £305,358 | -65.6% | High | Feasible |
| Buy, improve & sell | 0.00% | -£244 | £900,141 | 6% | Med | Feasible |
| Rent by the room | 4.00% | -£3,115 | £339,358 | -51.2% | — | Feasible |
Short-let (SA) context243 active short-lets nearby
Short-let market context
- 243 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 let5% occupancy
£53/night ADR
Based on 3 short-let comps nearby
Rent by the room conversion upside
-£417/mo cash flow vs Rent it out if converted to Rent by the room
3.60% Return before costs on price converted vs 3.02% as-is
Room mix (4 lettable rooms)
2× Double @ £662/mo1× Single @ £642/mo1× En-suite @ £701/mo
≈ £2,668/mo gross room income
As-is Rent it out
Monthly profit-£1,695
Return before costs on price3.02%
Cash needed£211,898
If converted to Rent by the room
Monthly profit-£2,112
Return before costs on price3.60%
Cash needed£227,898
Δ vs Rent it out Monthly profit-£417
Show conversion detail
Conversion cost estimate
£26,000
Range: £20,000 – £34,000
Fire safety, plumbing, partitioning, licensing.
Rates as of Apr 2026
£60,990–£114,230full refurb + room split
What's in this cost
- Kitchen£8,640–£17,280
- 2 × bathroom£11,400–£20,900
- Rewire£4,680–£8,190
- Replumb£3,510–£7,020
- Windows£11,700–£21,060
- Paint + decor£8,190–£15,210
- Flooring£12,870–£24,570
Based on 365 HMO comps within 4.2 km
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
Tax treatment
Annual gross rent£24,144
Section 24 credit£0
Annual tax due£0
Post-tax Monthly profit annual-£20,982
Exit costs
Projected sale price (5y · 2%/yr growth)£883,265
Capital gain (pre-CGT)£83,265
Sale costs (~2.5%)£22,082
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-£94,875
Rates as of Oct 2024
Acquisition costs
£305,358cash neededPurchase price£800,000
Deposit (25%)£200,000
Stamp duty+5% additional-property surcharge£70,000
Refurb£19,458
Legal + survey£2,900
Mortgage fees£13,000
Total cash neededdeposit + costs (loan covers the rest)£305,358
Green = verified data. Amber = market typical. Red = our estimate — verify before offering.
About this propertydescription · onthemarket
Description& agent copyOnTheMarket
Situated in one of Eastbourne’s most desirable roads, within the highly sought-after private Ratton Estate, this rarely available four-bedroom detached home occupies a generous plot of approximately 0.64 of an acre. Set at the far end of a private access road off the main section of Ratton Drive, the property enjoys an excellent degree of privacy. The accommodation includes two reception rooms, an en-suite bathroom and a family bathroom, with further benefits including gas-fi…
Floor plans
Listing metaonthemarket · Taylor Engley - Eastbourne
About this listing
24 days · OnTheMarketPrice history
No price history available.
Monthly profit
−£1,749
Cash needed
£305K
Return after costs
-6.87%
IRR
-8.28%
Listed 24d ago
Ratton Drive, Ratton, Eastbourne, Eastbourne
detached · 4 bed · 2 bath
£800,000
est £2,012 · 3.02% gross
1 / 5
0/100
Marginal
4.00% — verify the rent + comps locally.
3.02% Return before costs — around the area average for this property type.
Monthly profit −£1,749/mo at the default 25% deposit @ 5.5% — open the calculator to stress-test.
Price
£800K
Return before costs (best)
4.00%
Rent by the room
Bedrooms
4
2 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: £1,990–£2,034/mo · n=9
Financing
DepositYour cash in — the rest is the mortgage25% · £200,000
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 (£14,594–£27,241 range), VAT-inclusive
Legal + survey (£)
Standard house — £1,900 legal + £1,000 survey
Mortgage fees (£)
2% product fee on £600,000 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 £400K+
Maintenance (£/mo)
Detached: £100/mo proxy (more roof + grounds)
Leasehold costs
Result · Rent it out
Monthly profit
-£1,749
after mortgage, operating costs & tax
Rent in£2,012/mo gross
£1,935/mo collected · £77/mo lost to voids
Where it goes
£3,125Mortgage
Outgoings exceed rent — you top up £1,749/mo
Mortgage£3,125
Costs£558
Management£201
Maintenance£100
Insurance£40
CapEx reserve£101
Voids + council tax£12
Ltd co. accounts£104
Tax—
Shortfall−£1,749
Returns
Return before costs on price3.02%
Cash return on cash-6.87%
Gross margin£1,376
Cash needed£305,358
Monthly profit paybackn/a (monthly loss)
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress0.60
Rent-covers-mortgage check FAIL · stress 6.5% (need ≥ 1.45)
Short-let (SA) context243 active short-lets nearby
Short-let market context
- 243 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 | £24,144 | £6,698 | £37,500 | £0 | £0 | -£20,054 | -£20,054 |
| Year 2 | £24,868 | £6,899 | £37,500 | £0 | £0 | -£19,530 | -£39,584 |
| Year 3 | £25,614 | £7,105 | £37,500 | £0 | £0 | -£18,991 | -£58,575 |
| Year 4 | £26,383 | £7,319 | £37,500 | £0 | £0 | -£18,436 | -£77,011 |
| Year 5 | £27,174 | £7,538 | £37,500 | £0 | £0 | -£17,864 | -£94,875 |
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£7,500
Annual rental tax£0
CGT yr 5£0 · company level
5y net total-£94,875
Acquisition costs
25% deposit£200,000
Stamp duty£70,000
Refurb£19,458
Legal + survey£2,900
Mortgage + broker£13,000
Cash needed£305,358
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
Situated in one of Eastbourne’s most desirable roads, within the highly sought-after private Ratton Estate, this rarely available four-bedroom detached home occupies a generous plot of approximately 0.64 of an acre. Set at the far end of a private access road off the main section of Ratton Drive, the property enjoys an excellent degree of privacy. The accommodation includes two reception rooms, an en-suite bathroom and a family bathroom, with further benefits including gas-fi…
Floor plans
Listing
Sources: Rightmove · HM Land Registry · Ofsted · EA Flood Zones
Estimates not financial advice
Estimates not financial advice