* 6 Bed 6 Bath City Centre HMO – Ultimate Returns of 35.93%

Description

INVESTMENT OPPORTUNITY

Plungington - Financial Breakdown – 6 Bedroom – 6 Bathrooms
Purchase Price: £185,000.00
Deposit: £54,158.75
Conversion/Build: £81,996.38* approx. (subject to further onsite visits)
Set up costs/ Design & Build Fees - £15,500.00
Legals Estimate - £1,400.00
Stamp duty - £9,250.00
Survey - £650.00
Furniture and flooring packs can be purchased at an additional cost - £13,895.01

Total Project Cost: £315,600.14
Total Cash Outlay: £176,850.14

Projected Rental Income: £110.00 PPPW net of bills (water, gas, electricity) x 6 = £34,320 per annum
Management: £5,054.4 including VAT - (10% fully managed)
Net Income: £29,265.60
NET RETURN ON INVESTMENT AFTER REFINANCE: 35.93%

IN THE FIGURES BELOW, WE HAVE ALLOWED FOR A 3% EARLY REPAYMENT CHARGE THAT WILL LIKELY BE PAYABLE IF WE REMORTGAGE IN THE FIRST YEAR.
BASED ON A REFINANCE VALUATION OF £340,000.00 WE CAN RELEASE APPROXIMATELY £272,000.00 BY RE-MORTGAGING AFTER 6 MONTHS. AT THIS STAGE, YOU WILL HAVE AROUND £43,600.14 LEFT IN THE DEAL AND AFTER DEDUCTING THE NEW, INCREASED MORTGAGE INTEREST, YOUR NET INCOME WILL BE AROUND £15,665.60 PER ANNUM GIVING YOU A NET RETURN ON CASH INVESTED OF 35.93%.

CHOOSE PRESTON : GREAT VALUE FOR MONEY : EXCELLENT POTENTIAL GROWTH RATE: FANTASTIC RETURNS

• Major employers in Preston include Lancashire Teaching Hospitals NHS Foundation Trust, BAE Military Air Solutions and Booths.
• UCLan has 38,000 students from over 100 countries and is partnered with 125 institutions across the globe making us a truly international University. UCLan is ranked in the top 7% Centre for World University Rankings 2021-22.
• The Preston Campus is undergoing a radical £200m transformation to create a world class campus.
• £434 million is being spent on new investment in Preston that will lead to the expansion and improvement of the transport infrastructure at an unprecedented rate, enabling a forecast 20,000 new jobs and 17,420 new homes to be created. It will provide a huge boost to the local economy, which is expected to grow by £1 billion over the next ten years.
• Excellent Train links with a major train station linking Preston to Scotland and London, as well as the local major cities such as Manchester, Leeds and Liverpool.

THE FINISHED PRODUCT
• New inspire landlord thermostatic system can be fitted to control the usage of the properties central heating which will help with the significant rise in energy prices and keep the bills affordable for the landlord. Savings can be up to £1000 a year.
• Will be refurbished to the highest standard and contain all the everyday necessities within the furniture pack including a washing machine, vacuum cleaner, and microwave.
• All rooms will be rented at £140.00 (ensuite) per person per week.
• Will be supplied, fully regulated and compliant with the local council following inspection on completion of the building work with all necessary approvals.
• Every property has interlinked smoke alarms in all rooms, emergency lighting systems, appropriate fire panels and heat sensors.

Ad ID: 1492983614