A block of 6 units of 2 bedroom flats for sale at Doncaster, DN12 1DE, UK
Market Value £300,000
Purchase Price = £220,000
Finder’s Fee £7,000
Current Gross Income = £29,087 pa
Great Investment Opportunity!
For a limited time only, we have managed to secure a readymade and income producing Block of flats in Doncaster.
These blocks of flats were built 6 years ago and went under refurbishment 2 years ago.
The property consists of 6 flats which are all currently let, with the potential to increase the rent.
From our research, we believe:
- 2 bed flats to be worth circa £45,00 – £55,000
The property consists of: • 6 x 2 Bed Flats
Location the property is situated to:
- 0.1 miles from St Mary’s Catholic Primary School, Edlington and is
- 1.9 miles from Conisborough Train Station.
Rental the Flats are currently let out for a total of £2,423pcm producing £24,088 annually.
- Flat 1 – Rented at £93.23 per week
- Flat 2 – Rented at £93.23 per week
- Flat 3 – Rented at £93.23 per week
- Flat 4 – Rented at £93.23 per week
- Flat 5 – Rented at £93.23 per week
- Flat 6 – Rented at £93.23 per week
Current Income = £559.38 per week = £2,424 pcm = £29,088 per annum
- To purchase the property for £220,000 and enjoy immediate cash flow
- Change tenant profile and increase rents by £10 to the going market rent.
- Refinance the property against its commercial valuation
Cash flow Forecast
- Current Income = £2,424 pcm = £29,088 per annum
Costs to consider:
- Mortgage Cost (based on 75% LTV @ 4%) = £550 pcm
- Management @ 10% £291pcm
CASHFLOW AFTER ALL THE ABOVE COSTS Managed = £1,583 pcm = £18,996 per annum Self-Managed = £1,874 pcm = £22,488 per annum.
Capital Required To Get Involved:
- Purchase Price = £220,000
- Deposit @ 25% = £55,000
- Stamp Duty = £1,400
- Legals = £1,000
- Sourcing Fee = £7,000
Total Capital Required = £64,400
ROI based on an investment of £64,400
Managed = 29% Self-Managed = 35%
We are in contact with a letting agency who would continue to manage this property allowing you a hands free transaction.
Brokerage: 5% (slightly negotiable) of purchase price to be paid by the buyer as commission/brokerage.