LESS THAN £150K CASH REQUIRED AND NEARLY 30K RENTAL INCOME PER ANNUM

Description

Alfred Street, Redcar - Financial Breakdown – 5 Bedroom – 5 Bathrooms

Purchase Price: £77,000.00
Deposit: £22,541.75 (includes 6 months interest for bridging loan)
Conversion/Build: £78,535.52* approx. (subject to further onsite visits)
Set up costs/ Design & Build Fees - £15,500.00
Legals Estimate - £1,400.00
Survey - £650.00
Stamp Duty - £3,850.00
Furniture and flooring packs can be purchased at an additional cost - £11,554.49
Total Project Cost: £191,781.76 (includes 6 months interest for bridging loan)
Total Cash Outlay: £134,031.76 (includes 6 months interest for bridging loan)

Projected Rental Income: £115.00 PPPW net of bills (water, gas, electricity) x 5 = £29,900 per annum
Management: £4,368.00 including VAT - (10% fully managed)
Net Income: £25,532.00
NET RETURN ON INVESTMENT AFTER REFINANCE: 41.42%
BASED ON A ESTIMATED REFINANCE VALUATION OF £185,000.00 WE CAN RELEASE APPROXIMATELY £148,000.00 BY RE-MORTGAGING AFTER 6 MONTHS. AT THIS STAGE, YOU WILL HAVE AROUND £43,781.76 LEFT IN THE DEAL AND AFTER DEDUCTING THE NEW, INCREASED MORTGAGE INTEREST, YOUR NET INCOME WILL BE AROUND £18,132.00 PER ANNUM GIVING YOU A NET RETURN ON CASH INVESTED OF 41.42%.

CHOOSE REDCAR: COASTAL TOWN ON THE RISE: GATEWAY TO TEESWORKS & TEES FREEPORT: AFFORDABLE INVESTMENT HUB
• Strategic Coastal Location: Redcar is a well-situated seaside town in Teesside, with a population of around 35,000. It offers direct access to Middlesbrough, Stockton, and the wider Tees Valley via the A1085 and A66, while benefiting from rail links connecting to Darlington and the East Coast Mainline.
• At the Heart of Tees Valley Regeneration: Redcar sits on the doorstep of Teesworks, the UK’s largest and most ambitious industrial regeneration and freeport site, set to create thousands of jobs in clean energy, advanced manufacturing, and logistics.
• Industrial & Energy Growth Hub: With a strong legacy in steel and heavy industry, Redcar is being redefined as a centre for green energy innovation, including offshore wind, hydrogen, and carbon capture projects, attracting both national and international investment.
• Affordable Property Market with High Potential: House prices in Redcar remain well below the UK average, making entry costs low for investors. Rental yields of 7–10% are achievable, particularly in areas close to the town centre, seafront, and transport links.
• Demand from Regeneration-Driven Workforce: As Teesworks and the wider Tees Freeport expand, demand for quality rental housing is expected to rise from professionals, contractors, and new employees relocating to the area.
• Coastal Lifestyle & Tourism Appeal: Redcar’s seafront, sandy beaches, racecourse, and leisure attractions continue to draw both tourists and residents, supporting a secondary market in short-term lets and holiday accommodation.
• Ongoing Investment in Town Centre & Seafront: Multi-million-pound regeneration projects are improving Redcar’s retail, leisure, and cultural offer, including upgrades to the high street, public spaces, and waterfront.
• Long-Term Growth Outlook: With its proximity to Teesworks, strong freeport status, low-cost housing, and increasing demand, Redcar offers investors the chance to enter a high-growth regeneration hotspot with excellent long-term potential.

Ad ID: 1502489992