Flat 8, 124 Commercial Road, Bournemouth, BH2 5AT
Estimate of £178k for this flat/maisonette. 126 sales in BH2 in the last 12 months; median £199k.
Value History
Rental Market
Market Metrics
Sales & Yield
3 metricsInvestment Analysis
Buy-to-let cashflow + capital returns
Purchase
- Asking Price£22,500
- SDLT standard£0
- SDLT BTL surcharge (5%)£0
- Legal, survey + broker (assumed)£2,100
- RefurbishmentNot costed
- Total Cost (excl. refurb)£24,600
Funding
- Deposit (25%)£5,625
- Mortgage (75% LTV)£16,875
- Interest Rate (assumed)5.25%
- Mortgage TypeInterest Only
- Cash Required£7,725
Monthly Returns
- Monthly Rent (estimate)£1,050
- Mortgage Payment (IO)-£74
- Management (10%)-£105
- Insurance (assumed)-£40
- Maintenance (assumed)-£60
- Monthly Cashflow, before lease costs (not stated)+£771
Capital Returns
- 5yr Property Value£19,845
- 5yr Capital Gain (-2.48% pa, historical)-£2,655
- 5yr Cumulative Rent (net, before lease costs)+£53,019
- Less mortgage interest-£4,440
- 5yr Total Return (before lease costs)+£45,924
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 | £21,942 | £5,067 | +£9,252 | +£8,694 | 112.5% |
| Year 2 | £21,398 | £4,523 | +£18,732 | +£17,630 | 228.2% |
| Year 3 | £20,867 | £3,992 | +£28,445 | +£26,812 | 347.1% |
| Year 4 | £20,350 | £3,475 | +£38,396 | +£36,246 | 469.2% |
| Year 5 | £19,845 | £2,970 | +£48,579 | +£45,924 | 594.5% |
Modelled on the live asking price. Capital growth -2.48% a year is the BH2 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 (£7,725).
Price Forecast
No forecast available.