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Year 5 disposal
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100/ 100
Strong
11.59% Rent by the room return before costs — market rent unverified, verify rent + comps locally.
Why it works
- Monthly profit +£205/mo from completion — the no.1 reason to invest
- 9.60% return before costs — above-market
- 11.6% Rent by the room return before costs (net 6.21% after CapEx + bills) — conversion play
- Stress Rent-covers-mortgage check PASS at 6.5% rate stress — lender-friendly
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
+£205/mo
Pays you every month, net of costs
Price
£185K
No local sold comps to compare
Return · IRR
3.8%/yr
Modest annualised return
Cash to get in
£74K
Deposit + fees + refurb
Return before costs on price · Rent by the room 11.59%5-yr return on cash 25%Rent est. £1,480 (£1,234–£1,775)
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: £1,234–£1,775/mo · n=20
Financing
DepositYour cash in — the rest is the mortgage25% · £46,250
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 (£8,967–£16,738 range), VAT-inclusive
Legal + survey (£)
Standard house — £1,100 legal + £600 survey
Mortgage fees (£)
2% product fee on £138,750 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
+£205
after mortgage, operating costs & tax
Rent in£1,480/mo gross
£1,423/mo collected · £57/mo lost to voids
Where it goes
£752Mortgage£419Costs
£205/mo left as profit · 14% of rent kept
Mortgage£752
Costs£419
Management£148
Maintenance£67
Insurance£20
CapEx reserve£74
Voids + council tax£6
Ltd co. accounts£104
Tax£48
Profit+£205
Returns
Return before costs on price9.60%
Cash return on cash3.31%
Gross margin£1,004
Cash needed£74,131
Monthly profit payback30y 3m
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress1.89
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 | £17,760 | £5,027 | £9,019 | £0 | £706 | £3,009 | £3,009 |
| Year 2 | £18,293 | £5,177 | £9,019 | £0 | £778 | £3,319 | £6,328 |
| Year 3 | £18,842 | £5,333 | £9,019 | £0 | £853 | £3,637 | £9,965 |
| Year 4 | £19,407 | £5,493 | £9,019 | £0 | £930 | £3,965 | £13,930 |
| Year 5 | £19,989 | £5,657 | £9,019 | £0 | £1,009 | £4,304 | £18,234 |
Disposal gain (gross)-£9,957
CGT£0
Net Disposal proceeds£199,149
What we verified
What we verified
51065 ok · 1 caution · 0 fail · 6 unknown
Legal & planning
LeaseholdFreehold
Tenure & planningFreehold
Legal & planning
1 checks- TenureFreehold
Council planning restrictionUnknown
Council planning restrictionRent by the room conversion gatePlanning data
Rent by the room restriction
C3 to C4 conversion
Unknown
Confidence
low
Source
No LPA data for this prefix
Rates as of May 2026
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
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 profileFamily let
Tenant profilelikely cohortIP1 6HP · 3 bed
Primary profile
Family let
Nearest university
for student-let assessment
University of Cambridge · 70.3 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 · 796 sqft
£21k–£42k
£ 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£5,572–£10,348
- Flooring · Carpet on bedrooms + LVT/laminate downstairs£8,756–£16,716
Guide rates · UK May 2026
Tier-based bands — get a builder quote before exchanging.
Rent by the room licensingStandard rules
HMO licensing5-year licenceCouncil
Licence fee
5-year mandatory
£825–£1,500
Scheme type
Check council
The council's HMO page lists the current mandatory fee plus any additional / selective scheme that catches smaller HMOs.
Mandatory licensing applies to 5+ sharer HMOs (Housing Act 2004)
Find council HMO page →Price & sale history306d on marketno cuts yet
Strategy matrix
Rent it out wins — +£205/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 | 9.60% | +£205 | £74,131 | 24.6% | Low | Feasible |
| Housing-benefit rent | 5.18% | -£353 | £74,131 | -21.3% | Med | Feasible |
| Council lease | 5.18% | -£185 | £74,131 | -12.1% | Low | Feasible |
| Refurb & refinance | 9.60% | +£205 | £88,163 | 20.7% | Med | Feasible |
| Short-stay let / Airbnb | — | — | — | — | — | Disabledno local short-let data |
| Buy, improve & sell | 0.00% | -£191 | £213,888 | 4% | Med | Feasible |
| Rent by the room | 11.59% | -£819 | £100,131 | -40.5% | — | Feasible |
Housing-benefit (LHA) scheme detailBRMA Ipswich · cap £798/mo
Housing-benefit rent scheme detail
- Rental Market Area (BRMA):
- Ipswich
- LHA monthly cap:
- £798
- Scheme type:
- nominee
- Premium:
- +0% premium over LHA cap
- Management:
- management covered by council
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
+£12/mo cash flow vs Rent it out if converted to Rent by the room
15.57% Return before costs on price converted vs 9.60% as-is
Room mix (3 lettable rooms)
1× Double @ £611/mo1× Single @ £490/mo1× En-suite @ £687/mo
≈ £1,787/mo gross room income
As-is Rent it out
Monthly profit+£223
Return before costs on price9.60%
Cash needed£58,148
If converted to Rent by the room
Monthly profit+£235
Return before costs on price15.57%
Cash needed£74,148
Δ vs Rent it out Monthly profit+£12
Show conversion detail
Conversion cost estimate
£48,000
Range: £42,000 – £56,000
Fire safety, plumbing, partitioning, licensing.
Rates as of Apr 2026
£42,200–£79,470full refurb + room split
What's in this cost
- Kitchen£8,640–£17,280
- 1 × bathroom£5,700–£10,450
- Rewire£3,184–£5,572
- Replumb£2,388–£4,776
- Windows£7,960–£14,328
- Paint + decor£5,572–£10,348
- Flooring£8,756–£16,716
Based on 423 HMO comps within 295 m
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 & catchment5 schools nearby
Nearby schoolsOfsted-rated, nearest first5 of 5
- OutstandingHighfield Nursery SchoolNursery · Local authority nursery school · IP1 6DW
- GoodThomas Wolsey Ormiston AcademyNot applicable · Academy special converter · IP1 6SG
- GoodCastle Hill Junior SchoolPrimary · Academy sponsor led · IP1 6QD
- GoodSt Pancras Catholic Primary SchoolPrimary · Academy converter · IP1 6EF
- Not ratedCastle Hill Infant SchoolPrimary · Academy sponsor led · IP1 6QD
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£17,760
Section 24 credit£0
Annual tax due£706
Post-tax Monthly profit annual£2,326
Exit costs
Projected sale price (5y · 2%/yr growth)£204,255
Capital gain (pre-CGT)£19,255
Sale costs (~2.5%)£5,106
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£18,234
Rates as of Oct 2024
Acquisition costs
£74,131cash neededPurchase price£185,000
Deposit (25%)£46,250
Stamp duty+5% additional-property surcharge£10,450
Refurb£11,956
Legal + survey£1,700
Mortgage fees£3,775
Total cash neededdeposit + costs (loan covers the rest)£74,131
Green = verified data. Amber = market typical. Red = our estimate — verify before offering.
About this propertydescription · zoopla
Description& agent copyZoopla
Summary This well-presented, semi-detached home would make the perfect investment opportunity. The property has a tenant in situ paying £850 pcm and benefits from three bedrooms, a ground floor bathroom, an enclosed rear garden and a driveway.
Description *investors only*
Entrance Hall Tiled flooring, one radiator and doors to the kitchen, bathroom and lounge.
Kitchen 13' 2" x 9' 9" ( 4.01m x 2.97m ) Eye and base level units in white with grey, marble effect worktop surfa…
Floor plans
Nearby active comparables1 rental
Comparable rentals
IP1 · same beds + typeMedian nearby: £260,000/mo · 1 of 1 already let+£258,520 vs our est
- Broadway Villas, Ipswich IP1Let3b£260,000/moMay 2026
Other deals nearby
IP1 · ±25% priceNo other nearby investment deals matched on postcode prefix + bedrooms.
Listing metazoopla · William H Brown - Ipswich
About this listing
306 days · ZooplaPrice history
5-year price trend
Monthly profit
+£205
Cash needed
£74K
Return after costs
3.31%
IRR
3.80%
Listed 306d ago
Spenser Road, Ipswich IP1
semi_detached · 3 bed · 1 bath · 796 sqft
£185,000
est £1,480 · 9.60% gross
EPC D
1 / 12
100/100
Strong
11.59% Rent by the room strategy — market rent unverified, verify locally.
Monthly profit +£205/mo at 25% deposit @ 5.5%
Stress Rent-covers-mortgage check PASS at 6.5% rate stress
9.60% Return before costs — above-market
11.6% Rent by the room Return before costs — conversion play
Energy rating D — must hit C by 2030 (~£3,000–£7,000)
Price
£185K
Return before costs (best)
11.59%
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
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: £1,234–£1,775/mo · n=20
Financing
DepositYour cash in — the rest is the mortgage25% · £46,250
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 (£8,967–£16,738 range), VAT-inclusive
Legal + survey (£)
Standard house — £1,100 legal + £600 survey
Mortgage fees (£)
2% product fee on £138,750 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
+£205
after mortgage, operating costs & tax
Rent in£1,480/mo gross
£1,423/mo collected · £57/mo lost to voids
Where it goes
£752Mortgage£419Costs
£205/mo left as profit · 14% of rent kept
Mortgage£752
Costs£419
Management£148
Maintenance£67
Insurance£20
CapEx reserve£74
Voids + council tax£6
Ltd co. accounts£104
Tax£48
Profit+£205
Returns
Return before costs on price9.60%
Cash return on cash3.31%
Gross margin£1,004
Cash needed£74,131
Monthly profit payback30y 3m
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress1.89
Rent-covers-mortgage check PASS · stress 6.5% (target 1.45)
Housing-benefit (LHA) scheme detailBRMA Ipswich · cap £798/mo
Housing-benefit rent scheme detail
- Rental Market Area (BRMA):
- Ipswich
- LHA monthly cap:
- £798
- Scheme type:
- nominee
- Premium:
- +0% premium over LHA cap
- Management:
- management covered by council
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 | £17,760 | £5,027 | £9,019 | £0 | £706 | £3,009 | £3,009 |
| Year 2 | £18,293 | £5,177 | £9,019 | £0 | £778 | £3,319 | £6,328 |
| Year 3 | £18,842 | £5,333 | £9,019 | £0 | £853 | £3,637 | £9,965 |
| Year 4 | £19,407 | £5,493 | £9,019 | £0 | £930 | £3,965 | £13,930 |
| Year 5 | £19,989 | £5,657 | £9,019 | £0 | £1,009 | £4,304 | £18,234 |
Rent by the room upside
What we verified
6106
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 · monthlyChecking…
SchoolsGIAS · OfstedChecking…
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
TenantMonthly profit from day oneIn situ
Comparables
sold within 0.5 miLoading nearby sold…
Location & transport
Tax & exit
Tax bandLtd Co 25%
Mortgage-interest tax rule credit£1,804
Annual rental tax£576
CGT yr 5£0 · company level
5y net total£18,234
Acquisition costs
25% deposit£46,250
Stamp duty£10,450
Refurb£11,956
Legal + survey£1,700
Mortgage + broker£3,775
Cash needed£74,131
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
Summary This well-presented, semi-detached home would make the perfect investment opportunity. The property has a tenant in situ paying £850 pcm and benefits from three bedrooms, a ground floor bathroom, an enclosed rear garden and a driveway.
Description *investors only*
Entrance Hall Tiled flooring, one radiator and doors to the kitchen, bathroom and lounge.
Kitchen 13' 2" x 9' 9" ( 4.01m x 2.97m ) Eye and base level units in white with grey, marble effect worktop surfa…
Floor plans
Listing
Sources: Rightmove · HM Land Registry · Ofsted · EA Flood Zones
Estimates not financial advice
Estimates not financial advice