12, Cross Street, SKEGNESS, Lincolnshire, PE25 3RH

Description

Freehold mid terrace house arranged over ground, first and second floors. Investment.

Accommodation

Second floor: One bedroom. First floor: Two bedrooms. Ground floor: Reception room, kitchen, bathroom/WC. Outside: Rear garden. Gross Internal Area GIA (Source: EPC) approximately 75 sq m (807 sq ft).

Location

The property is situated on Cross Street between its junctions with Wainfleet Road and Old Wainfleet Road. Public transport links include Skegness Mainline Rail Station together with a network of local bus services serving the surrounding vicinity. Road links include the A52 and A158. Shopping amenities can be found locally within Skegness Town Centre. Recreational pursuits can be found locally at the open spaces of Tower Gardens and Skegness Beach.

Tenure / Property Information

Investment Analysis

Completed sales on the same street range from £65,000 to £105,000. The £65,000 and £69,000 sales provide the more conservative evidence; the £105,000 sale is a materially higher outlier. A base GDV of £69,000 is adopted, with a low scenario of £65,000 and high scenario of £105,000. No condition, internal specification or passing-rent evidence is supplied, so the valuation range remains indicative.

Investment Snapshot

Strategy Recommendation

Investigate as a low-cost BTL or BRRR opportunity only after verifying the AST, passing rent, property condition and all Special Conditions fees. Do not rely on the high £105,000 comparable or proceed without a works and exit-cost assessment.

Works Required

No specific defects or refurbishment requirements are evidenced. Allow for inspection and any works identified before completion, together with confirmation of heating, parking, tenancy condition and compliance requirements. No monetary works allowance is supported by the evidence.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

Using the £69,000 base GDV, 75% refinance is approximately £51,750. Against the £40,000 guide plus the known £1,800 administration charge, indicative cash left in is £9,950 before works, finance, tax and seller fees. As refurbishment costs, passing rent and lender valuation criteria are unknown, the BRRR outcome cannot be reliably established.

Buy-to-Let Analysis

The property is let on an AST, but the passing rent and tenancy terms are not provided. The only rental evidence is an advertised asking rent of £900 pcm, not an achieved rent. At that rent, annual gross rent is £10,800 and the indicative gross yield is 27.00% against the £40,000 guide, or 25.84% against £41,800 including the £1,800 buyer administration charge. These figures exclude finance, operating costs, any refurbishment, seller fees and tax, so an underlying BTL return cannot be confirmed.

Flip Analysis

The base GDV is estimated at £69,000 against a guide price of £40,000. Known acquisition cost including the £1,800 buyer administration charge is £41,800 before works and selling costs. A reliable flip surplus cannot be calculated because refurbishment requirements, seller fees and selling costs are not supplied.

Investor Risks & Due Diligence

• Passing rent and AST terms are unknown despite the property being occupied under an AST.

• The £900 pcm figure is an advertised asking rent rather than achieved or passing rent.

• Same-street completed sales range widely from £65,000 to £105,000, creating valuation uncertainty.

• Condition and any refurbishment requirements are not evidenced.

• Seller fees may be payable under the Special Conditions of Sale but are not quantified.

• Heating and parking information require confirmation.

• Indicative returns exclude finance, operating costs, tax, selling costs and any refurbishment expenditure.

Recommendation

Investigate as a low-cost BTL or BRRR opportunity only after verifying the AST, passing rent, property condition and all Special Conditions fees. Do not rely on the high £105,000 comparable or proceed without a works and exit-cost assessment.

Strategy Rating

Analysis Confidence

Same-street completed sales and one advertised rental are available, but the comparable values vary materially and there is no passing rent, condition survey, refurbishment cost, tenancy detail, seller-fee schedule or confirmed heating and parking information.