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Year 5 disposal
BMV -30%
⊞ View all 7
85/ 100
Strong
Strong investment fundamentals.
Why it works
- 11.74% return before costs — above-market
- 19.0% Rent by the room return before costs (net 9.46% after CapEx + bills) — conversion play
- Priced below market -30% vs 12 nearby sold (last 12 mo) — instant equity
- Stress Rent-covers-mortgage check PASS at 6.5% rate stress — lender-friendly
Why to be cautious
- 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
+£184/mo
Barely breaks even each month
Price vs market
Below market value
-30% vs 12 sold · interior unseen
Return · IRR
4.9%/yr
Modest annualised return
Cash left in
£17K
Stays in after refinancing at value
Price £105KCash to buy £51KReturn before costs on price · Rent by the room 19.01%5-yr return on cash 30%Rent est. £1,027 (£902–£1,169)
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: £902–£1,169/mo · n=26
Financing
DepositYour cash in — the rest is the mortgage25% · £26,250
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 (£11,333–£21,155 range), VAT-inclusive
Legal + survey (£)
Standard house — £1,100 legal + £600 survey
Mortgage fees (£)
2% product fee on £78,750 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)
Terraced: £50/mo proxy (shared structure)
Leasehold costs
Result · Rent it out
Monthly profit
+£184
after mortgage, operating costs & tax
Rent in£1,027/mo gross
£988/mo collected · £40/mo lost to voids
Where it goes
£427Mortgage£334Costs£184Your profit
£184/mo left as profit · 19% of rent kept
Mortgage£427
Costs£334
Management£103
Maintenance£50
Insurance£20
CapEx reserve£51
Voids + council tax£5
Ltd co. accounts£104
Tax£43
Profit+£184
Returns
Return before costs on price11.74%
Cash return on cash4.34%
Gross margin£654
Cash needed£50,886
Monthly profit payback23y 1m
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress2.32
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 | £12,324 | £4,004 | £5,119 | £0 | £608 | £2,594 | £2,594 |
| Year 2 | £12,694 | £4,124 | £5,119 | £0 | £656 | £2,795 | £5,389 |
| Year 3 | £13,075 | £4,247 | £5,119 | £0 | £705 | £3,003 | £8,392 |
| Year 4 | £13,467 | £4,375 | £5,119 | £0 | £755 | £3,218 | £11,610 |
| Year 5 | £13,871 | £4,506 | £5,119 | £0 | £807 | £3,439 | £15,049 |
Disposal gain (gross)-£14,031
CGT£0
Net Disposal proceeds£113,030
What we verified
What we verified
50075 ok · 0 caution · 0 fail · 7 unknown
Legal & planning
LeaseholdFreehold
Tenure & planningFreehold
Legal & planning
2 checks- TenureUnknown
- Lease lengthUnknown
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 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 profileFamily let
Tenant profilelikely cohortST5 2DL · 3 bed
Primary profile
Family let
Nearest university
for student-let assessment
University of Manchester · 50 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 · 990 sqft
£25k–£49k
£ per sqft
building cost only
£25–£49
Per-item breakdown (4 lines)
- Kitchen · Full unit replacement£3,840–£8,640
- 1 × bathroom · Full strip + retile£3,325–£6,650
- Paint + decor£6,930–£12,870
- Flooring · Carpet on bedrooms + LVT/laminate downstairs£10,890–£20,790
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
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 history141d on marketno cuts yet
Sale price historythis address, HM Land RegistryPrice-Paid Data
Asking vs last sale
£84,000 in 2005 → £105,000 asking
+25.0%in 21y
- 2005£84,000—
HM Land Registry · Price-Paid Data (Open Government Licence). Growth percentages are nominal — not adjusted for inflation or local market movement.
Strategy matrix
Rent it out wins — +£184/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 | 11.74% | +£184 | £50,886 | 29.6% | Low | Feasible |
| Housing-benefit rent | 6.78% | -£165 | £50,886 | -11.8% | Med | Feasible |
| Council lease | 0.00% | -£601 | £50,886 | -72.1% | Low | Feasible |
| Refurb & refinance | 11.74% | +£184 | £62,180 | 24.2% | Med | Feasible |
| Short-stay let / Airbnb | — | — | — | — | — | Disabledno local short-let data |
| Buy, improve & sell | 0.00% | -£174 | £133,105 | -5% | Med | Feasible |
| Rent by the room | 19.92% | -£481 | £80,886 | -25.3% | — | Feasible |
Housing-benefit (LHA) scheme detailBRMA Staffordshire North · cap £593/mo
Housing-benefit rent scheme detail
- Rental Market Area (BRMA):
- Staffordshire North
- 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
+£310/mo cash flow vs Rent it out if converted to Rent by the room
27.43% Return before costs on price converted vs 11.74% as-is
Room mix (3 lettable rooms)
2× Double @ £644/mo1× Single @ £455/mo
≈ £1,743/mo gross room income
As-is Rent it out
Monthly profit+£179
Return before costs on price11.74%
Cash needed£38,148
If converted to Rent by the room
Monthly profit+£488
Return before costs on price27.43%
Cash needed£54,148
Δ vs Rent it out Monthly profit+£310
Show conversion detail
Conversion cost estimate
£48,000
Range: £42,000 – £56,000
Fire safety, plumbing, partitioning, licensing.
Rates as of Apr 2026
£33,518–£63,000full refurb + room split
⚠️ Capped at 60% of £105,000 asking (£63,000). Raw model: £48,990–£92,080. Verify with a surveyor before offering.
What's in this cost
- Kitchen£5,911–£11,823
- 1 × bathroom£3,900–£7,150
- Rewire£2,709–£4,741
- Replumb£2,032–£4,064
- Windows£6,773–£12,192
- Paint + decor£4,741–£8,805
- Flooring£7,451–£14,224
Based on 1384 HMO comps within 5.4 km
Comparables
sold within 0.5 miWide · CV 36.3%Med confidence
Loading 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
- GoodSt Giles' and St George's Church of England AcademyPrimary · Academy converter · ST5 2NB
- Not ratedNewcastle and Stafford Colleges Group16 plus · Further education · ST5 2GB
- Not ratedBlackfriars AcademyNot applicable · Academy special converter · ST5 2TF
- Not ratedCoppice AcademyNot applicable · Academy special converter · ST5 2EY
- Not ratedEdenhurst Preparatory SchoolNot applicable · Other independent school · ST5 2PU
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£12,324
Section 24 credit£0
Annual tax due£608
Post-tax Monthly profit annual£2,120
Exit costs
Projected sale price (5y · 2%/yr growth)£115,928
Capital gain (pre-CGT)£10,928
Sale costs (~2.5%)£2,898
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£15,049
Rates as of Oct 2024
Acquisition costs
£50,886cash neededPurchase price£105,000
Deposit (25%)£26,250
Stamp duty+5% additional-property surcharge£5,250
Refurb£15,111
Legal + survey£1,700
Mortgage fees£2,575
Total cash neededdeposit + costs (loan covers the rest)£50,886
Green = verified data. Amber = market typical. Red = our estimate — verify before offering.
About this propertydescription · rightmove
Description& agent copyRightmove
This three-bedroom end of terrace house is for sale in Newcastle-under-Lyme and is presented in good condition. Suited to first time buyers and investors, the property offers a practical layout with one separate reception room, a kitchen with base units, and a ground floor double bedroom. The remaining two double bedrooms are located upstairs. The property also features a wet room. High ceilings and gas central heating enhance the overall accommodation.
The house is well pla…
Floor plans
Nearby active comparables1 rental · 5 deals
Comparable rentals
ST5 · same beds + typeMedian nearby: £895/mo · 1 of 1 already let-£132 vs our est
- London Road, Chesterton, Newcastle, S…Let3b£895/moMay 2026
Listing metarightmove · Reeds Rains
About this listing
141 days · RightmovePrice history
5-year price trend
Monthly profit
+£184
Cash needed
£51K
Return after costs
4.34%
IRR
4.87%
Listed 141d ago
Mellard Street, Newcastle, Staffordshire, ST5
terraced · 3 bed · 1 bath
£105,000
est £1,027 · 11.74% gross
Priced below market
1 / 7
85/100
Strong
Real 19.01% — fundamentals work.
Priced below market -30% vs 12 nearby sold (last 12 mo)
Stress Rent-covers-mortgage check PASS at 6.5% rate stress
11.74% Return before costs — above-market
19.0% Rent by the room Return before costs — conversion play
Price
£105K
30% below sold comps
Return before costs (best)
19.01%
Rent by the room
Bedrooms
3
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: £902–£1,169/mo · n=26
Financing
DepositYour cash in — the rest is the mortgage25% · £26,250
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 (£11,333–£21,155 range), VAT-inclusive
Legal + survey (£)
Standard house — £1,100 legal + £600 survey
Mortgage fees (£)
2% product fee on £78,750 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)
Terraced: £50/mo proxy (shared structure)
Leasehold costs
Result · Rent it out
Monthly profit
+£184
after mortgage, operating costs & tax
Rent in£1,027/mo gross
£988/mo collected · £40/mo lost to voids
Where it goes
£427Mortgage£334Costs£184Your profit
£184/mo left as profit · 19% of rent kept
Mortgage£427
Costs£334
Management£103
Maintenance£50
Insurance£20
CapEx reserve£51
Voids + council tax£5
Ltd co. accounts£104
Tax£43
Profit+£184
Returns
Return before costs on price11.74%
Cash return on cash4.34%
Gross margin£654
Cash needed£50,886
Monthly profit payback23y 1m
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress2.32
Rent-covers-mortgage check PASS · stress 6.5% (target 1.45)
Housing-benefit (LHA) scheme detailBRMA Staffordshire North · cap £593/mo
Housing-benefit rent scheme detail
- Rental Market Area (BRMA):
- Staffordshire North
- 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 | £12,324 | £4,004 | £5,119 | £0 | £608 | £2,594 | £2,594 |
| Year 2 | £12,694 | £4,124 | £5,119 | £0 | £656 | £2,795 | £5,389 |
| Year 3 | £13,075 | £4,247 | £5,119 | £0 | £705 | £3,003 | £8,392 |
| Year 4 | £13,467 | £4,375 | £5,119 | £0 | £755 | £3,218 | £11,610 |
| Year 5 | £13,871 | £4,506 | £5,119 | £0 | £807 | £3,439 | £15,049 |
Rent by the room upside
What we verified
5007
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 · 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
Comparables
sold within 0.5 miWide · CV 36.3%Med confidence
Loading nearby sold…
Location & transport
Tax & exit
Tax bandLtd Co 25%
Mortgage-interest tax rule credit£1,024
Annual rental tax£518
CGT yr 5£0 · company level
5y net total£15,049
Acquisition costs
25% deposit£26,250
Stamp duty£5,250
Refurb£15,111
Legal + survey£1,700
Mortgage + broker£2,575
Cash needed£50,886
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 copyRightmove
This three-bedroom end of terrace house is for sale in Newcastle-under-Lyme and is presented in good condition. Suited to first time buyers and investors, the property offers a practical layout with one separate reception room, a kitchen with base units, and a ground floor double bedroom. The remaining two double bedrooms are located upstairs. The property also features a wet room. High ceilings and gas central heating enhance the overall accommodation.
The house is well pla…
Floor plans
Listing
Sources: Rightmove · HM Land Registry · Ofsted · EA Flood Zones
Estimates not financial advice
Estimates not financial advice