Superb 4 bed HMO in Stoke Immaculate Throughout Perfect For Students Net Returns 16.18% PA
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Cotesheath Street – Stoke-on-Trent
4 bed, 4 bathroom HMO
with Net returns from 16.18%
Cotesheath Street - Financial Breakdown – 4 Bedroom – 4 Bathrooms
Purchase Price: £97,000.00
Deposit: £28,396.75 - Finance (75% LTV STL with interest paid for 1st 6 months)
Conversion/Build: £49,500.20* approx. (subject to further onsite visits)
Set up costs/ Design & Build Fees - £14,750.00
Legals - £1,400.00
Stamp duty - £2,910.00
Survey - £650.00
Furniture and flooring packs can be purchased at an additional cost - £7,261.00
Total Project Cost: £173,471.20
Total Cash outlay: £104,867.95
Rental Income: £100.00 PPPW net of bills (water, gas, electricity) = £20,800.00 (This allows for a temporary energy surcharge and increased mortgage interest rates)
Management: £2,745.60 - per annum approx.
Balance of Annual mortgage cost as 1st 6 months paid: £1,091.25 approx.
TRUE NET INCOME: £16,963.15 per annum
NET RETURN ON INVESTMENT: 16.18% per annum
NET RETURN ON INVESTMENT AFTER REFINANCE 29.05%
BASED ON A REFINANCE VALUATION OF £175,000 WE CAN RELEASE APPROXIMATELY £140,000 BY RE-MORTGAGING AFTER 6 MONTHS. AT THIS STAGE, YOU WILL HAVE AROUND £37,617.95 LEFT IN THE DEAL AND AFTER DEDUCTING THE NEW, INCREASED MORTGAGE INTEREST, YOUR NET INCOME WILL BE AROUND £10,928.40 PER ANNUM GIVING YOU A NET RETURN ON CASH INVESTED OF 29.05%!
• A sought-after area with easy access to the University, local amenities and the town centre. Only a 13 minute walk to the University campus and the Student Union bars. The town centre and train station are just a 18 minute walk away.
• Spacious enough to enable a 4-bedroom multi let: all with double rooms and 4 bathrooms plus a spacious communal kitchen.
• Staffordshire University has nearly 20,000 students and has a lively student community with over 75 nationalities represented at the University.
• Within easy access of nearby cities, just 60 minutes to both Manchester and Birmingham.
CHOOSE STOKE-ON-TRENT : GREAT VALUE FOR MONEY : EXCELLENT POTENTIAL GROWTH RATE: FANTASTIC RETURNS
• Staffordshire University has been open since 1914 with nearly 20,000 students. This well-established University gives great potential for student tenants all requiring private accommodation after their first year in halls of residence.
• It has a thriving and diverse student population representing over 75 countries and is gold-rated university by the Teaching Excellence Framework (TEF).
• Keele University is also only a 10 minute drive from Stoke-on-Trent with the Keele University School of Medicine (UHNM Hospital Campus) being based in the heart Stoke-on-Trent with an additional 10,000 students attending.
• University Hospitals of North Midlands NHS Trust is one of the largest and most modern in the country. Highly regarded for their facilities, teaching and research across two sites in Stoke-on-Trent and Staffordshire. The 11,000 strong workforce provide medical care from Royal Stoke University Hospital and County Hospital in Staffordshire.