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Year 5 disposal
⊞ View all 9
72/ 100
Solid
Real 13.23% return before costs with manageable risks.
Why it works
- 13.23% return before costs — above-market
- Stress Rent-covers-mortgage check PASS at 6.5% rate stress — lender-friendly
- EPC C — MEES compliant
Why to be cautious
- Leasehold 81yr — verify at solicitor
- 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
+£69/mo
Barely breaks even each month
Price
£90K
No local sold comps to compare
Return · IRR
2.1%/yr
Modest annualised return
Cash to get in
£41K
Deposit + fees + refurb
Return before costs on price 13.23%5-yr return on cash 18%Rent est. £992 (£849–£1,159)
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: £849–£1,159/mo · n=7
Financing
DepositYour cash in — the rest is the mortgage25% · £22,500
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 (£7,570–£14,130 range), VAT-inclusive
Legal + survey (£)
Leasehold flat — £1,500 legal + £500 survey
Mortgage fees (£)
2% product fee on £67,500 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
+£69
after mortgage, operating costs & tax
Rent in£992/mo gross
£954/mo collected · £38/mo lost to voids
Where it goes
£366Mortgage£503Costs
£69/mo left as profit · 7% of rent kept
Mortgage£366
Costs£503
Management£99
Maintenance£67
Insurance£20
CapEx reserve£50
Voids + council tax£5
Service charge + ground rent£158
Ltd co. accounts£104
Tax£16
Profit+£69
Returns
Return before costs on price13.23%
Cash return on cash1.99%
Gross margin£450
Cash needed£41,443
Monthly profit payback50y 4m
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress2.61
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 | £11,904 | £6,041 | £4,388 | £0 | £280 | £1,195 | £1,195 |
| Year 2 | £12,261 | £6,222 | £4,388 | £0 | £314 | £1,337 | £2,533 |
| Year 3 | £12,629 | £6,409 | £4,388 | £0 | £348 | £1,484 | £4,017 |
| Year 4 | £13,008 | £6,601 | £4,388 | £0 | £384 | £1,635 | £5,652 |
| Year 5 | £13,398 | £6,799 | £4,388 | £0 | £420 | £1,791 | £7,443 |
Disposal gain (gross)-£9,710
CGT£0
Net Disposal proceeds£96,883
What we verified
What we verified
33053 ok · 3 caution · 0 fail · 5 unknown
Legal & planning
Leasehold81 yr
Tenure & planning81 yr
Legal & planning
2 checks- TenureLeasehold
- Lease lengthUnknown
Building condition
Energy ratingC
EPC& 2030 deadlineEPC register
▼
ABCDEFG
Current rating
From listing descriptionBand 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
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 cohortDE21 5EF · 2 bed
Primary profile
Mixed demand
Nearest university
for student-let assessment
University of Nottingham · 18.2 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
2-bed · 1-bath · 646 sqft
£19k–£37k
£ per sqft
building cost only
£29–£58
Per-item breakdown (4 lines)
- Kitchen · Full unit replacement£3,840–£8,640
- 1 × bathroom · Full strip + retile£3,325–£6,650
- Paint + decor£4,522–£8,398
- Flooring · Carpet on bedrooms + LVT/laminate downstairs£7,106–£13,566
Guide rates · UK May 2026
Tier-based bands — get a builder quote before exchanging.
Rent by the room licensingN/A
Price & sale history30d on marketno cuts yet
Strategy matrix
Rent it out wins — +£69/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 | 13.23% | +£69 | £41,443 | 18.0% | Low | Feasible |
| Housing-benefit rent | 7.91% | -£279 | £41,443 | -32.6% | Med | Feasible |
| Council lease | 0.00% | -£715 | £41,443 | -106.6% | Low | Feasible |
| Refurb & refinance | 13.23% | +£69 | £49,980 | 14.9% | Med | Feasible |
| Short-stay let / Airbnb | — | — | — | — | — | Disabledno local short-let data |
| Buy, improve & sell | 0.00% | -£349 | £110,630 | -3% | Med | Feasible |
| Rent by the room | — | — | — | — | — | Disabledneeds 3+ beds |
Housing-benefit (LHA) scheme detailBRMA Derby · cap £593/mo
Housing-benefit rent scheme detail
- Rental Market Area (BRMA):
- Derby
- LHA monthly cap:
- £593
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
+£333/mo cash flow vs Rent it out if converted to Rent by the room
32.00% Return before costs on price converted vs 13.23% as-is
As-is Rent it out
Monthly profit+£203
Return before costs on price13.23%
Cash needed£34,398
If converted to Rent by the room
Monthly profit+£536
Return before costs on price32.00%
Cash needed£50,398
Δ vs Rent it out Monthly profit+£333
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
£28,619–£54,000full refurb + room split
⚠️ Capped at 60% of £90,000 asking (£54,000). Raw model: £36,950–£69,720. Verify with a surveyor before offering.
What's in this cost
- Kitchen£6,692–£13,384
- 1 × bathroom£4,415–£8,094
- Rewire£2,001–£3,502
- Replumb£1,501–£3,002
- Windows£5,003–£9,006
- Paint + decor£3,502–£6,504
- Flooring£5,504–£10,507
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
Schools & catchment4 schools nearby
Nearby schoolsOfsted-rated, nearest first4 of 5
- Not ratedTuition Services Co Brookside SchoolNot applicable · Miscellaneous · DE21 5LF
- Not ratedBreadsall CofE VC Primary SchoolPrimary · Voluntary controlled school · DE21 5LF
- Not ratedHorsley CofE (Controlled) Primary SchoolPrimary · Voluntary controlled school · DE21 5BR
- Not ratedLittle Eaton Primary SchoolPrimary · Community school · DE21 5AB
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£11,904
Section 24 credit£0
Annual tax due£280
Post-tax Monthly profit annual£738
Exit costs
Projected sale price (5y · 2%/yr growth)£99,367
Capital gain (pre-CGT)£9,367
Sale costs (~2.5%)£2,484
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£7,443
Rates as of Oct 2024
Acquisition costs
£41,443cash neededPurchase price£90,000
Deposit (25%)£22,500
Stamp duty+5% additional-property surcharge£4,500
Refurb£10,093
Legal + survey£2,000
Mortgage fees£2,350
Total cash neededdeposit + costs (loan covers the rest)£41,443
Green = verified data. Amber = market typical. Red = our estimate — verify before offering.
About this propertydescription · zoopla
Description& agent copyZoopla
We are delighted to bring to the market this two bedroom first floor flat in the sought after location of Little Eaton which offers local amenities, having been newly decorated with new bedroom carpets and new flooring to the lounge, secure intercom entry, large lounge, ample storage, shared balcony, double glazing and gas central heating. This two bedroom apartment would make an ideal investment or first time buy. Little Eaton is located three and a half miles North East of…
Floor plans
Listing metazoopla · Leaders - Derby
About this listing
30 days · ZooplaPrice history
5-year price trend
Monthly profit
+£69
Cash needed
£41K
Return after costs
1.99%
IRR
2.10%
Listed 30d ago
Barley Close, Little Eaton, Derby DE21
flat · 2 bed · 1 bath · 646 sqft
£90,000
est £992 · 13.23% gross
Leasehold 81yrEPC C
1 / 9
72/100
Solid
Real 13.23% — fundamentals work.
Stress Rent-covers-mortgage check PASS at 6.5% rate stress
13.23% Return before costs — above-market
Lease 81 yrs — extend before exit
Price
£90K
Return before costs
13.23%
est rent £992/monot enough comparablesRange £849–£1,159/mo (Q1–Q3)
Bedrooms
2
1 bath
Energy rating
C
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: £849–£1,159/mo · n=7
Financing
DepositYour cash in — the rest is the mortgage25% · £22,500
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 (£7,570–£14,130 range), VAT-inclusive
Legal + survey (£)
Leasehold flat — £1,500 legal + £500 survey
Mortgage fees (£)
2% product fee on £67,500 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
+£69
after mortgage, operating costs & tax
Rent in£992/mo gross
£954/mo collected · £38/mo lost to voids
Where it goes
£366Mortgage£503Costs
£69/mo left as profit · 7% of rent kept
Mortgage£366
Costs£503
Management£99
Maintenance£67
Insurance£20
CapEx reserve£50
Voids + council tax£5
Service charge + ground rent£158
Ltd co. accounts£104
Tax£16
Profit+£69
Returns
Return before costs on price13.23%
Cash return on cash1.99%
Gross margin£450
Cash needed£41,443
Monthly profit payback50y 4m
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress2.61
Rent-covers-mortgage check PASS · stress 6.5% (target 1.45)
Housing-benefit (LHA) scheme detailBRMA Derby · cap £593/mo
Housing-benefit rent scheme detail
- Rental Market Area (BRMA):
- Derby
- LHA monthly cap:
- £593
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 | £11,904 | £6,041 | £4,388 | £0 | £280 | £1,195 | £1,195 |
| Year 2 | £12,261 | £6,222 | £4,388 | £0 | £314 | £1,337 | £2,533 |
| Year 3 | £12,629 | £6,409 | £4,388 | £0 | £348 | £1,484 | £4,017 |
| Year 4 | £13,008 | £6,601 | £4,388 | £0 | £384 | £1,635 | £5,652 |
| Year 5 | £13,398 | £6,799 | £4,388 | £0 | £420 | £1,791 | £7,443 |
Rent by the room upside
What we verified
4306
Legal & planning▾
Article 4HMO restriction lookupUnknown
Rent by the room licensingMandatory if 5+ unrelatedN/A
TenureLeasehold years remaining81 yr
HeritageListed building / conservation areaNot stated on the listing
Building condition▾
EPCEnergy efficiency ratingC
EWS1External wall safety (cladding)Not stated on the listing
Refurb costBased on beds + baths + sqftEstimate available
Service chargeReduces net yield£1,595/yr
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£878
Annual rental tax£193
CGT yr 5£0 · company level
5y net total£7,443
Acquisition costs
25% deposit£22,500
Stamp duty£4,500
Refurb£10,093
Legal + survey£2,000
Mortgage + broker£2,350
Cash needed£41,443
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 copyZoopla
We are delighted to bring to the market this two bedroom first floor flat in the sought after location of Little Eaton which offers local amenities, having been newly decorated with new bedroom carpets and new flooring to the lounge, secure intercom entry, large lounge, ample storage, shared balcony, double glazing and gas central heating. This two bedroom apartment would make an ideal investment or first time buy. Little Eaton is located three and a half miles North East of…
Floor plans
Listing
Sources: Rightmove · HM Land Registry · Ofsted · EA Flood Zones
Estimates not financial advice
Estimates not financial advice