23 Farrar Road, Droylsden, Manchester, M43 6FX
Estimate of £246k for this semi-detached house. 223 sales in M43 in the last 12 months; median £220k.
Value History
Rental Market
Market Metrics
Sales & Yield
3 metricsInvestment Analysis
Buy-to-let cashflow + capital returns
Purchase
- Asking Price£250,000
- SDLT standard£2,500
- SDLT BTL surcharge (5%)£12,500
- Legal, survey + broker (assumed)£2,100
- RefurbishmentNot costed
- Total Cost (excl. refurb)£267,100
Funding
- Deposit (25%)£62,500
- Mortgage (75% LTV)£187,500
- Interest Rate (assumed)5.25%
- Mortgage TypeInterest Only
- Cash Required£79,600
Monthly Returns
- Monthly Rent (estimate)£1,600
- Mortgage Payment (IO)-£820
- Management (10%)-£160
- Insurance (assumed)-£40
- Maintenance (assumed)-£60
- Monthly Cashflow, before lease costs (not stated)+£520
Capital Returns
- 5yr Property Value£339,477
- 5yr Capital Gain (6.31% pa, historical)+£89,477
- 5yr Cumulative Rent (net, before lease costs)+£83,934
- Less mortgage interest-£49,200
- 5yr Total Return (before lease costs)+£124,211
Modelled on the live asking price. Assumed, as in the PDF report: 25% deposit, 5.25% interest-only mortgage, management 10% of rent, insurance £40/mo, maintenance £60/mo, legal, survey and broker £2,100. Refurbishment, voids and letting fees are not costed. Service charge and ground rent are not stated, so cashflow and returns are before lease costs.
5-Year Projection
| Year | Property Value | Equity | Cashflow (cumulative) | Total Return | ROI |
|---|---|---|---|---|---|
| Year 1 | £265,775 | £78,275 | +£6,240 | +£22,015 | 27.7% |
| Year 2 | £282,545 | £95,045 | +£12,828 | +£45,373 | 57.0% |
| Year 3 | £300,374 | £112,874 | +£19,772 | +£70,146 | 88.1% |
| Year 4 | £319,328 | £131,828 | +£27,067 | +£96,394 | 121.1% |
| Year 5 | £339,477 | £151,977 | +£34,734 | +£124,211 | 156.0% |
Modelled on the live asking price. Capital growth 6.31% a year is the M43 area's 5-year historical rate (Land Registry medians), not a forecast. Rent grows 2% a year (assumed); management is 10% of each year's rent. Mortgage held interest-only at 5.25% for 5 years. Refurbishment, voids and letting fees are not costed. Service charge and ground rent are not stated, so cashflow and returns are before lease costs. ROI is on cash required (£79,600).
Price Forecast
No forecast available.