Rented normally, you'd make about £101 a month.

Will it pay?Calculator

£101 of every £1,270 is yours to keep, each month

You keep 8p of every pound of rent. The mortgage takes 42p.

+£1,270−£528−£618−£24£101

Rent inMortgageRunning costsTaxProfit

Rent £1,270, modelled from 1 nearby letting within 1 km

◧ market rent £1,270 · 1 comp2 empty weeks a year assumed

What if I change my assumptions?The dials

At the asking price, 25% deposit, 6.50% charged

Try your own numbersLive

You keep£101/mo

All-in cash£52,232

Payback43.3 yrs

Offer−+

Deposit−+

Mortgage rate−+

Rent−+

Worked at 6.50% — 5.75% quoted plus a company premium.

◧ worked out from local rents

What will it cost me to buy?Breakdown

£44,050 + refurb costs

£11,550 of that never comes back — stamp duty, solicitor and lender fees.

£44,050 to buy it

deposit · stamp duty · solicitor · fees~£8,182, unseen

□ works not inspected

What would have to be true?

Nothing — it works at the asking price

The rent covers the mortgage, the running costs and the tax at the £130,000 asked, so there is no discount this card has to name. A lower price would be upside, not a condition.

◧ worked back from the rent

Is the price right?The deeds

Last sold for £89,000 in 2015

Nothing nearby is comparable, but asking is 46% more than the £89,000 paid for it in 2015.

□ this address’s own deeds, no comparable saleHM Land Registry Price Paid Data

Can we trust the rent?Rent evidence

Too few nearby letting behind this rent

Read the rent as a floor to beat, not a target.

our bar: 10 within 500 m

our own middle half£1,080–£1,493/mo

■ 1 letting within 1 km□ too thin to price onAdvertised rents, not signed tenancies

What will the rent borrow?Lender test

The rent carries the whole loan — it could fall 28% and still cover it

Your deposit is what limits this one, not the rent. Lenders test the rent at 7.5% and need it to cover 145% of the payment.

£884 needed

of £1,221 rent

stressed at 7.5%, 145% cover

◧ rent after empty weeks £1,221PRA-style test

How big is it, really?The working

One figure, and nothing checking it 398 sq ft

Only the agent’s figure exists for this house. Open for what that means.

□ area unchecked — agent’s own

Is it a good location?Open the map

No school rated Good or better in this postcode area

1 school in this postcode area, none rated Good or better and flood risk checking… — open for the map, the schools and the rest.

Article 4Planning permission required to let by the room

■ postcode area, not this address

What could kill thisThe checks

£2,174 a year in charges for the building, owed even when nobody is living there

The contract the property is sold under sets these charges, and they can go up over the years.

2 problems found · 2 came back clear · 3 we could not check · 2 do not apply to this property

■ from the listinglisting last seen 23 Sep 2026

Which strategy wins?The ways to run it

Nothing here beats a plain let

Let it to the council: £2,328 a year less, but they keep paying when it is empty.

Standard rental+£101 · £52,232 in

Guaranteed council rent−£93 · £52,232 in

Housing-benefit rent−£331 · £52,232 in

Each row: money kept a month, then the cash it ties up. Not compared: Rent by the room (only 0 bedrooms) · Do it up, then remortgage (pays back at the remortgage) · Short-stay let (no local short-let data) · Buy, improve & sell (pays out on sale)

◧ 3 ways, one measureranked on money kept each month, at the asking price

What would you walk away with, after 5 years?The five-year sums

+£2,469 after five years on the cash you put in, before tax on the sale

Less than the same cash would have made in a savings account, after tax on the interest. The savings account’s capital is not at risk; the property’s is. A fall of about 26% in the price would leave nothing from a sale after selling costs, and you would still owe the lender any shortfall. That is the £52,232 you put in. The 5-year fix runs past this 5-year hold, so the rate reset comes after it.

−£52,232+£149,402−£3,735−£97,500+£6,534+£2,469

Cash you put inSale valueSelling costsMortgageRent keptYou walk with

◧ 2.0%/yr growth assumed