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Year 5 disposal
⊞ View all 12
12/ 100
Weak
6.20% return before costs — verify the rent + comps locally.
Why it works
- Long lease (125 yrs) — no short-lease drag
Why to be cautious
- Monthly profit −£262/mo — significantly negative — real recurring drain
- -5.7% 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
−£262/mo
You top up £262/mo
Price
£160K
No local sold comps to compare
Return · IRR
-5.7%/yr
Loses money over 5 years
Cash to get in
£57K
Deposit + fees + refurb
Return before costs on price 6.20%5-yr return on cash -22%Rent est. £827 (£760–£900)
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: £760–£900/mo · n=10
Financing
DepositYour cash in — the rest is the mortgage25% · £40,000
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 (£2,156–£4,025 range), VAT-inclusive
Legal + survey (£)
Leasehold flat — £1,500 legal + £500 survey
Mortgage fees (£)
2% product fee on £120,000 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 sub-£200K
Maintenance (£/mo)
Default £67/mo — type unknown
Leasehold costs
Result · Rent it out
Monthly profit
-£262
after mortgage, operating costs & tax
Rent in£827/mo gross
£795/mo collected · £32/mo lost to voids
Where it goes
£650Mortgage£407Costs
Outgoings exceed rent — you top up £262/mo
Mortgage£650
Costs£407
Management£83
Maintenance£67
Insurance£20
CapEx reserve£41
Voids + council tax£7
Service charge + ground rent£85
Ltd co. accounts£104
Tax—
Shortfall−£262
Returns
Return before costs on price6.20%
Cash return on cash-5.52%
Gross margin£388
Cash needed£56,975
Monthly profit paybackn/a (monthly loss)
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress1.22
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 | £9,924 | £4,887 | £7,800 | £0 | £0 | -£2,763 | -£2,763 |
| Year 2 | £10,222 | £5,034 | £7,800 | £0 | £0 | -£2,612 | -£5,375 |
| Year 3 | £10,528 | £5,185 | £7,800 | £0 | £0 | -£2,456 | -£7,831 |
| Year 4 | £10,844 | £5,340 | £7,800 | £0 | £0 | -£2,296 | -£10,127 |
| Year 5 | £11,170 | £5,500 | £7,800 | £0 | £0 | -£2,131 | -£12,258 |
Disposal gain (gross)-£1,338
CGT£0
Net Disposal proceeds£172,237
What we verified
What we verified
20092 ok · 0 caution · 0 fail · 9 unknown
Legal & planning
Leasehold125 yr
Leaseholdmaterial factsListing extract
Lease remaining
Mortgageable ≥80yr
125 yr
Extracted from listing description · verify with solicitor
Tenure & planning125 yr
Legal & planning
2 checks- TenureUnknown
- Lease lengthUnknown
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
EWS1& cladding statusListing signal
OKInfoVerifyCritical
Severity
Inferred from listing text
OK
Floor
EWS1 typically required above 18m
Floor 0
Lender impact
Ground floor — building almost certainly ≤ 11 m, EWS1 likely not required (RICS Mar 2021 guidance).
Mortgageable
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 profileUnknown
Tenant profilelikely cohortRG30 2NY · 0 bed
Primary profile
Mixed demand
Nearest university
for student-let assessment
University of Reading · 5.1 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 costUnknown
Refurb cost& works budgetQ1 2026 rates
New kitchen + bathroom + light replumb + decor.
Total estimate
0-bed · 1-bath · 450 sqft
£15k–£31k
£ per sqft
building cost only
£34–£68
Per-item breakdown (4 lines)
- Kitchen · Full unit replacement£3,840–£8,640
- 1 × bathroom · Full strip + retile£3,325–£6,650
- Paint + decor£3,150–£5,850
- Flooring · Carpet on bedrooms + LVT/laminate downstairs£4,950–£9,450
Guide rates · UK May 2026 · sqft auto-estimated from beds
Tier-based bands — get a builder quote before exchanging.
Rent by the room licensingN/A
Price & sale history53d on marketno cuts yet
Sale price historythis address, HM Land RegistryPrice-Paid Data
Asking vs last sale
£82,000 in 2000 → £160,000 asking
+95.1%in 26y
- 2000£82,000—
HM Land Registry · Price-Paid Data (Open Government Licence). Growth percentages are nominal — not adjusted for inflation or local market movement.
Strategy matrix
Council lease wins — -£223/mo · £39/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 | 6.20% | -£262 | £56,975 | -21.5% | Low | Feasible |
| Housing-benefit rent | 6.20% | -£317 | £56,975 | -24.2% | Med | Feasible |
| ⭐ Council lease | 6.20% | -£223 | £56,975 | -20.7% | Low | Feasible |
| Refurb & refinance | 6.20% | -£262 | £66,125 | -18.5% | Med | Feasible |
| Short-stay let / Airbnb | — | — | — | — | — | Disabledno local short-let data |
| Buy, improve & sell | 0.00% | -£276 | £174,725 | 8% | Med | Feasible |
| Rent by the room | — | — | — | — | — | Disabledneeds 3+ beds |
Housing-benefit (LHA) scheme detailBRMA Reading · cap £848/mo
Housing-benefit rent scheme detail
- Rental Market Area (BRMA):
- Reading
- LHA monthly cap:
- £848
- Scheme type:
- other
- Premium:
- +700% premium over LHA cap
- Typical lease:
- 0 years lease
- Management:
- landlord pays agent (typical 10%)
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
+£471/mo cash flow vs Rent it out if converted to Rent by the room
18.00% Return before costs on price converted vs 6.20% as-is
As-is Rent it out
Monthly profit-£157
Return before costs on price6.20%
Cash needed£51,898
If converted to Rent by the room
Monthly profit+£314
Return before costs on price18.00%
Cash needed£67,898
Δ vs Rent it out Monthly profit+£471
Show conversion detail
Cannot Rent by the room:Only 0 bed — too small for an HMO (3+ unrelated tenants from 2+ households) without major reconfiguration.
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
- GoodWilson Primary SchoolPrimary · Community school · RG30 2RW
- Requires improvementThe WREN SchoolSecondary · Free schools · RG30 2BB
- Not ratedCranbury CollegeNot applicable · Academy alternative provision converter · RG30 2TS
- Not ratedSt Edward's PrepNot applicable · Other independent school · RG30 2JH
- Not ratedBattle Primary AcademyPrimary · Academy sponsor led · RG30 2TD
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£9,924
Section 24 credit£0
Annual tax due£0
Post-tax Monthly profit annual-£3,145
Exit costs
Projected sale price (5y · 2%/yr growth)£176,653
Capital gain (pre-CGT)£16,653
Sale costs (~2.5%)£4,416
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-£12,258
Rates as of Oct 2024
Acquisition costs
£56,975cash neededPurchase price£160,000
Deposit (25%)£40,000
Stamp duty+5% additional-property surcharge£8,700
Refurb£2,875
Legal + survey£2,000
Mortgage fees£3,400
Total cash neededdeposit + costs (loan covers the rest)£56,975
Green = verified data. Amber = market typical. Red = our estimate — verify before offering.
About this propertydescription · rightmove
Description& agent copyRightmove
Sansome & George Reading - Offered with 'No Chain' and with a Garage, this sought after and very spacious Ground Floor Studio Apartment is less than 2 years old and features Patio doors opening to a Private Terrace.
Offered to the market with no onward chain and available for the first time since being built in 2024, this spacious, purpose-built ground floor contemporary studio apartment is conveniently situated approximately two miles west of Reading town centre. The proper…
Floor plans
Listing metarightmove · Sansome & George Residential Sales Ltd
About this listing
53 days · RightmovePrice history
5-year price trend
Monthly profit
−£262
Cash needed
£57K
Return after costs
-5.52%
IRR
-5.67%
Listed 53d ago
Grovelands Road, Reading
studio · 1 bath
£160,000
est £827 · 6.20% gross
Chain freeLeasehold 125yr
1 / 12
12/100
Marginal
6.20% — verify the rent + comps locally.
Chain free
Price
£160K
Return before costs
6.20%
est rent £827/monot enough comparablesRange £760–£900/mo (Q1–Q3)
Bedrooms
0
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: £760–£900/mo · n=10
Financing
DepositYour cash in — the rest is the mortgage25% · £40,000
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 (£2,156–£4,025 range), VAT-inclusive
Legal + survey (£)
Leasehold flat — £1,500 legal + £500 survey
Mortgage fees (£)
2% product fee on £120,000 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 sub-£200K
Maintenance (£/mo)
Default £67/mo — type unknown
Leasehold costs
Result · Rent it out
Monthly profit
-£262
after mortgage, operating costs & tax
Rent in£827/mo gross
£795/mo collected · £32/mo lost to voids
Where it goes
£650Mortgage£407Costs
Outgoings exceed rent — you top up £262/mo
Mortgage£650
Costs£407
Management£83
Maintenance£67
Insurance£20
CapEx reserve£41
Voids + council tax£7
Service charge + ground rent£85
Ltd co. accounts£104
Tax—
Shortfall−£262
Returns
Return before costs on price6.20%
Cash return on cash-5.52%
Gross margin£388
Cash needed£56,975
Monthly profit paybackn/a (monthly loss)
Data confidence
Lender stress test
Rent-covers-mortgage check @ stress1.22
Rent-covers-mortgage check FAIL · stress 6.5% (need ≥ 1.45)
Housing-benefit (LHA) scheme detailBRMA Reading · cap £848/mo
Housing-benefit rent scheme detail
- Rental Market Area (BRMA):
- Reading
- LHA monthly cap:
- £848
- Scheme type:
- other
- Premium:
- +700% premium over LHA cap
- Typical lease:
- 0 years lease
- Management:
- landlord pays agent (typical 10%)
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 | £9,924 | £4,887 | £7,800 | £0 | £0 | -£2,763 | -£2,763 |
| Year 2 | £10,222 | £5,034 | £7,800 | £0 | £0 | -£2,612 | -£5,375 |
| Year 3 | £10,528 | £5,185 | £7,800 | £0 | £0 | -£2,456 | -£7,831 |
| Year 4 | £10,844 | £5,340 | £7,800 | £0 | £0 | -£2,296 | -£10,127 |
| Year 5 | £11,170 | £5,500 | £7,800 | £0 | £0 | -£2,131 | -£12,258 |
Rent by the room upside
What we verified
31010
Legal & planning▾
Article 4HMO restriction lookupUnknown
Rent by the room licensingMandatory if 5+ unrelatedN/A
TenureLeasehold years remaining125 yr
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 + sqftNot stated on the listing
Service chargeReduces net yield£978.17/yr
Ground rentDoubling clauses kill mortgageability£40/yr
Area▾
Crimepolice.uk · monthlyChecking…
SchoolsGIAS · OfstedChecking…
FloodEA Flood Map · England onlyChecking…
Investor profile▾
Tenant profileBeds + postcode heuristicCheck locally
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£1,560
Annual rental tax£0
CGT yr 5£0 · company level
5y net total-£12,258
Acquisition costs
25% deposit£40,000
Stamp duty£8,700
Refurb£2,875
Legal + survey£2,000
Mortgage + broker£3,400
Cash needed£56,975
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
Sansome & George Reading - Offered with 'No Chain' and with a Garage, this sought after and very spacious Ground Floor Studio Apartment is less than 2 years old and features Patio doors opening to a Private Terrace.
Offered to the market with no onward chain and available for the first time since being built in 2024, this spacious, purpose-built ground floor contemporary studio apartment is conveniently situated approximately two miles west of Reading town centre. The proper…
Floor plans
Listing
Sources: Rightmove · HM Land Registry · Ofsted · EA Flood Zones
Estimates not financial advice
Estimates not financial advice