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Year 5 disposal
BMV -9%
⊞ View all 10
16/ 100
Weak
5.83% return before costs — market rent unverified, verify rent + comps locally.
Why it works
- Priced below market -9% vs 12 nearby sold (last 12 mo) — instant equity
Why to be cautious
- Monthly profit −£250/mo — significantly negative — real recurring drain
- -2.3% 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.
- 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
−£250/mo
You top up £250/mo
Price vs market
Below market value
-9% vs 12 sold · interior unseen
Return · IRR
-2.3%/yr
Loses money over 5 years
Cash left in
£119K
Stays in after refinancing at value
Price £375KCash to buy £147KReturn before costs on price 5.83%5-yr return on cash -4%Rent est. £1,821 (£1,792–£1,850)
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: £1,792–£1,850/mo · n=29
Financing
DepositYour cash in — the rest is the mortgage25% · £93,750
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 (£12,471–£23,279 range), VAT-inclusive
Legal + survey (£)
Standard house — £1,400 legal + £750 survey
Mortgage fees (£)
2% product fee on £281,250 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 £200K–£400K
Maintenance (£/mo)
Terraced: £50/mo proxy (shared structure)
Leasehold costs
Result · Rent it out
Monthly profit
-£250
after mortgage, operating costs & tax
Rent in£1,821/mo gross
£1,751/mo collected · £70/mo lost to voids
Where it goes
£1,523Mortgage£477Costs
Outgoings exceed rent — you top up £250/mo
Mortgage£1,523
Costs£477
Management£182
Maintenance£50
Insurance£28
CapEx reserve£91
Voids + council tax£7
Ltd co. accounts£104
Selective licensing£15
Tax—
Shortfall−£250
Returns
Return before costs on price5.83%
Cash return on cash-2.04%
Gross margin£1,274
Cash needed£146,653
Monthly profit paybackn/a (monthly loss)
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress1.15
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 | £21,852 | £5,727 | £18,281 | £0 | £0 | -£2,156 | -£2,156 |
| Year 2 | £22,508 | £5,899 | £18,281 | £0 | £0 | -£1,672 | -£3,828 |
| Year 3 | £23,183 | £6,076 | £18,281 | £0 | £0 | -£1,174 | -£5,002 |
| Year 4 | £23,878 | £6,258 | £18,281 | £0 | £0 | -£661 | -£5,663 |
| Year 5 | £24,595 | £6,446 | £18,281 | £0 | £0 | -£132 | -£5,795 |
Disposal gain (gross)-£17,598
CGT£0
Net Disposal proceeds£403,680
What we verified
What we verified
41064 ok · 1 caution · 0 fail · 6 unknown
Legal & planning
LeaseholdFreehold
Tenure & planningFreehold
Legal & planning
1 checks- TenureFreehold
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
SchoolsChecking…
Schools& Ofsted catchmentGIAS register
No schools indexed for this postcode sector.
Investor
Tenant profileMixed demand
Tenant profilelikely cohortBR1 5NR · 2 bed
Primary profile
Mixed demand
Nearest university
for student-let assessment
Queen Mary · 11.6 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 · 694 sqft · London ×1.4
£25k–£49k
£ per sqft
building cost only
£37–£71
Per-item breakdown (4 lines)
- Kitchen · Full unit replacement£4,640–£10,440
- 1 × bathroom · Full strip + retile£4,200–£8,400
- Paint + decor£6,940–£12,492
- Flooring · Carpet on bedrooms + LVT/laminate downstairs£9,716–£18,044
Guide rates · UK May 2026
Tier-based bands — get a builder quote before exchanging.
Rent by the room licensingN/A
Price & sale history0d on marketno cuts yet
Strategy matrix
Refurb & refinance wins — -£235/mo · £15/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 | 5.83% | -£250 | £146,653 | -4.0% | Low | Feasible |
| Housing-benefit rent | 4.15% | -£754 | £146,653 | -24.6% | Med | Feasible |
| Council lease | 4.15% | -£485 | £146,653 | -17.2% | Low | Feasible |
| ⭐ Refurb & refinance | 5.83% | -£235 | £172,054 | -2.8% | Med | Feasible |
| Short-stay let / Airbnb | — | — | — | — | — | Disabledno local short-let data |
| Buy, improve & sell | 0.00% | -£182 | £427,929 | 5% | Med | Feasible |
| Rent by the room | — | — | — | — | — | Disabledneeds 3+ beds |
Housing-benefit (LHA) scheme detailBRMA Outer South East London · cap £1,296/mo
Housing-benefit rent scheme detail
- Rental Market Area (BRMA):
- Outer South East London
- LHA monthly cap:
- £1,296
- Scheme type:
- PSL
- Premium:
- +0% premium over LHA cap
- Typical lease:
- 0 years lease
- 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
-£262/mo cash flow vs Rent it out if converted to Rent by the room
7.68% Return before costs on price converted vs 5.83% as-is
As-is Rent it out
Monthly profit-£190
Return before costs on price5.83%
Cash needed£105,648
If converted to Rent by the room
Monthly profit-£452
Return before costs on price7.68%
Cash needed£121,648
Δ vs Rent it out Monthly profit-£262
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
£61,600
Range: £53,200 – £72,800
Fire safety, plumbing, partitioning, licensing.
Rates as of Apr 2026
Planning approval likelihood
Uncertain · 32% likely
medium confidence
- Article 4 direction applies — planning permission required for C3->C4 HMO
- no known HMOs within 100m (below threshold)
- local council HMO approval rate 30% (106 decisions)
≈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.
£48,176–£90,294full refurb + room split
What's in this cost
- Kitchen£10,440–£20,880
- 1 × bathroom£7,200–£13,200
- Rewire£3,470–£6,246
- Replumb£2,776–£5,552
- Windows£7,634–£13,880
- Paint + decor£6,940–£12,492
- Flooring£9,716–£18,044
Comparables
sold within 0.5 miMed · CV 11.0%Med confidence
Loading nearby sold…
Location & area intelligence
Transport score100 / 100
On the map
- Registered HMOs
- Approved HMO conversions
- Pending HMO applications
Small Houses in Multiple Occupation 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.
Schools & catchment5 schools nearby
Nearby schoolsOfsted-rated, nearest first5 of 5
- GoodHaberdashers' Knights PrimaryPrimary · Academy converter · BR1 5LW
- GoodSt John Baptist Southend Church of England Primary SchoolPrimary · Voluntary aided school · BR1 5RL
- Not ratedDrumbeat School and ASD ServiceNot applicable · Community special school · BR1 5LE
- Not ratedNew Woodlands SchoolNot applicable · Community special school · BR1 5PD
- Not ratedDownderry Primary SchoolPrimary · Community school · BR1 5QL
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£21,852
Section 24 credit£0
Annual tax due£0
Post-tax Monthly profit annual-£2,997
Exit costs
Projected sale price (5y · 2%/yr growth)£414,030
Capital gain (pre-CGT)£39,030
Sale costs (~2.5%)£10,351
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-£5,795
Rates as of Oct 2024
Acquisition costs
£146,653cash neededPurchase price£375,000
Deposit (25%)£93,750
Stamp duty+5% additional-property surcharge£27,500
Refurb£16,628
Legal + survey£2,150
Mortgage fees£6,625
Total cash neededdeposit + costs (loan covers the rest)£146,653
Green = verified data. Amber = market typical. Red = our estimate — verify before offering.
About this propertydescription · zoopla
Description& agent copyZoopla
This lovely 2 bedroom terraced house is offered to the market chain free and boasts a spacious reception room, separate kitchen which opens onto a large private garden, 2 double bedrooms and sleek bathroom. Downham Way offers a short walk to Grove Park Station with links to Canon Street, Charing Cross, Waterloo East and London Bridge. There is a selection of shops and restaurants nearby and Downham Playing Fields are also a short walk away. Please use the reference CHPK391907…
Floor plans
Nearby active comparables4 rentals · 5 deals
Comparable rentals
BR1 · same beds + typeMedian nearby: £1,875/mo · 3 of 4 already let+£54 vs our est
- Mooreland Road Bromley BR1Let2b£1,900/moMay 2026
- Galahad Road, Bromley, BR12b£1,900/moMay 2026
- Mooreland Road, Bromley, BR1Let2b£1,850/moMay 2026
- North Road, Bromley, BR1Let2b£1,650/moMay 2026
Listing metazoopla · Foxtons - Bromley
About this listing
ZooplaPrice history
5-year price trend
Monthly profit
−£250
Cash needed
£147K
Return after costs
-2.04%
IRR
-2.25%
Downham Way, Bromley BR1
terraced · 2 bed · 1 bath · 694 sqft
£375,000
est £1,821 · 5.83% gross
Chain free
Priced below market
1 / 10
16/100
Marginal
5.83% — verify the rent + comps locally.
Priced below market -9% vs 12 nearby sold (last 12 mo)
Chain free
Price
£375K
9% below sold comps
Return before costs
5.83%
est rent £1,821/monot enough comparablesRange £1,792–£1,850/mo (Q1–Q3)
Bedrooms
2
1 bath
Energy rating
—
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: £1,792–£1,850/mo · n=29
Financing
DepositYour cash in — the rest is the mortgage25% · £93,750
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 (£12,471–£23,279 range), VAT-inclusive
Legal + survey (£)
Standard house — £1,400 legal + £750 survey
Mortgage fees (£)
2% product fee on £281,250 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 £200K–£400K
Maintenance (£/mo)
Terraced: £50/mo proxy (shared structure)
Leasehold costs
Result · Rent it out
Monthly profit
-£250
after mortgage, operating costs & tax
Rent in£1,821/mo gross
£1,751/mo collected · £70/mo lost to voids
Where it goes
£1,523Mortgage£477Costs
Outgoings exceed rent — you top up £250/mo
Mortgage£1,523
Costs£477
Management£182
Maintenance£50
Insurance£28
CapEx reserve£91
Voids + council tax£7
Ltd co. accounts£104
Selective licensing£15
Tax—
Shortfall−£250
Returns
Return before costs on price5.83%
Cash return on cash-2.04%
Gross margin£1,274
Cash needed£146,653
Monthly profit paybackn/a (monthly loss)
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress1.15
Rent-covers-mortgage check FAIL · stress 6.5% (need ≥ 1.45)
Housing-benefit (LHA) scheme detailBRMA Outer South East London · cap £1,296/mo
Housing-benefit rent scheme detail
- Rental Market Area (BRMA):
- Outer South East London
- LHA monthly cap:
- £1,296
- Scheme type:
- PSL
- Premium:
- +0% premium over LHA cap
- Typical lease:
- 0 years lease
- 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 | £21,852 | £5,727 | £18,281 | £0 | £0 | -£2,156 | -£2,156 |
| Year 2 | £22,508 | £5,899 | £18,281 | £0 | £0 | -£1,672 | -£3,828 |
| Year 3 | £23,183 | £6,076 | £18,281 | £0 | £0 | -£1,174 | -£5,002 |
| Year 4 | £23,878 | £6,258 | £18,281 | £0 | £0 | -£661 | -£5,663 |
| Year 5 | £24,595 | £6,446 | £18,281 | £0 | £0 | -£132 | -£5,795 |
Rent by the room upside
What we verified
3207
Legal & planning▾
Article 4HMO restriction lookupUnknown
Rent by the room licensingMandatory if 5+ unrelatedN/A
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 · 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 miMed · CV 11.0%Med confidence
Loading nearby sold…
Location & transport
Tax & exit
Tax bandLtd Co 25%
Mortgage-interest tax rule credit£3,656
Annual rental tax£0
CGT yr 5£0 · company level
5y net total-£5,795
Acquisition costs
25% deposit£93,750
Stamp duty£27,500
Refurb£16,628
Legal + survey£2,150
Mortgage + broker£6,625
Cash needed£146,653
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
This lovely 2 bedroom terraced house is offered to the market chain free and boasts a spacious reception room, separate kitchen which opens onto a large private garden, 2 double bedrooms and sleek bathroom. Downham Way offers a short walk to Grove Park Station with links to Canon Street, Charing Cross, Waterloo East and London Bridge. There is a selection of shops and restaurants nearby and Downham Playing Fields are also a short walk away. Please use the reference CHPK391907…
Floor plans
Listing
Sources: Rightmove · HM Land Registry · Ofsted · EA Flood Zones
Estimates not financial advice
Estimates not financial advice