11 Bouch Street, Shildon, DL4 2JW

Description

A Terrace House requiring modernisation with accommodation arranged on Two Floors comprising: First Floor: Bedroom (One), Bedroom (Two), Bathroom/WC. Ground Floor: Entrance Hall, Through Reception Room, Kitchen. Yard at Rear.

Accommodation

First Floor: Bedroom (One), Bedroom (Two), Bathroom/WC. Ground Floor: Entrance Hall, Through Reception Room, Kitchen. Yard at Rear.

Location

Situated off Redworth Road, close to the amenities available in Shildon Town Centre and travelling facilities including Shildon Train Station. Hackworth Park is also nearby.

Tenure / Property Information

Investment Analysis

The evidence is unusually wide-ranging: same-street completed sales span £35,000 to £94,999. The two latest supplied sales are £91,999 and £94,999, while earlier sales are £36,950-£39,500. As the comparable condition, bedroom count and transaction circumstances are not supplied, the lower sales cannot be directly reconciled with the latest evidence. A base GDV of £92,000 is used, with low and high scenarios reflecting the supplied evidence range.

Investment Snapshot

Strategy Recommendation

Do not bid solely on the guide price. Obtain the legal pack, inspect the property and establish a fully costed modernisation budget before considering either a resale or rental strategy.

Works Required

Modernisation is required according to the description. The evidence does not identify specific defects or provide a costed scope, so no detailed works schedule or refurbishment allowance can be supported.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

At the £92,000 base GDV, 75% refinance is approximately £69,000. BRRR viability cannot be established because no refurbishment allowance, total project cost, actual purchase price or seller charges are supplied. The wide comparable range also creates material valuation risk.

Buy-to-Let Analysis

The single rental listing indicates an advertised asking rent of £575 pcm, equivalent to £6,900 annually. Against the £10,000 guide this produces a 69% gross guide-price yield, but this is not a realistic acquisition-yield conclusion because the eventual purchase price, refurbishment cost, seller fees and other costs are unknown. The rent is advertised rather than achieved, and no allowance is available for voids, management, maintenance or finance.

Flip Analysis

The latest supplied same-street sales support a potential resale value around £92,000-£95,000, but earlier sales are materially lower and comparable condition details are absent. A flip surplus cannot be calculated because refurbishment costs, actual purchase price and selling costs are unsupported.

Investor Risks & Due Diligence

• Same-street completed sales vary materially from £35,000 to £94,999, creating substantial GDV uncertainty.

• The property is stated to require modernisation, but no condition survey or costed works schedule is supplied.

• The £575 pcm figure is an advertised asking rent, not an achieved passing rent.

• The eventual auction price may exceed the £10,000 guide and the applicable buyer premium may therefore differ from the sub-£10,000 fee.

• The seller may charge additional completion fees, but the amount is not supplied.

• No parking or heating information is provided.

• No refurbishment, finance, void, management, maintenance or selling-cost allowance is available.

Recommendation

Do not bid solely on the guide price. Obtain the legal pack, inspect the property and establish a fully costed modernisation budget before considering either a resale or rental strategy.

Strategy Rating

Analysis Confidence

The property description, tenure, vacancy, guide, buyer premium, one advertised rent and several completed sales are supplied, but comparable specifications, condition details, refurbishment costs, actual sale price and seller charges are missing.