The purchase of property 4 was quite straight forward. It needed very little work apart from painting, which is what I was looking for, as I’m busy with other things.
I had chosen to try a new solicitor, and they did a great job. Much more organised and so the sale went through without any problems.
Here are the stats.
| Price | £96K |
|---|---|
| Mortgage | £72K @ 3.4% = £204 per month |
| Deposit | £24K |
| Rent | £595 per month |
| Management | 9%+VAT = £64 |
| Insurance | £13 per month |
| Cashflow | 595 – 64 (management) – 204 (mortgage) – £13 (insurance) = + £314 per month |
| Return on Cash | 3768/23000 = 15.7% |
Not a bad ROI, but no forced appreciation by doing a refurb, so I can do better. Here is the updated summary
| Type | Deposit | Rent | ROI | Cashflow | |
|---|---|---|---|---|---|
| Property 1 | 2 bed semi | £26.25 | £595 | 13.6% | + £298 |
| Property 2 | 3 bed detatched | £31.25 | £650 | 8.54% | + £305 |
| Property 3 | 2 bed semi | £22.5 | £525 | 16.5% | + £309 |
| Property 4 | 2 bed semi | £24k | £595 | 15.7% | + £314 |
| Total | + £1226pcm |
Property Seeds 