16 Leabrooks Road, Somercotes, Alfreton, Derbyshire

Description

Auction House would like to present this two bedroom terrace house located in Somercotes, Alfreton and offered to the market via online auction. Comprising of a lounge, dining room, kitchen, with two bedrooms, a family bathroom and a rear garden. This property is being marketed with vacant possession making it an excellent investment opportunity in a sought after rental area. Close to a range of amenities and transport links.

Accommodation

Lounge, dining room, kitchen, two bedrooms, family bathroom and rear garden.

Location

Located in Somercotes, Alfreton, close to a range of amenities and transport links.

Tenure / Property Information

Investment Analysis

Same-road sold evidence ranges from £84,500 to £195,000, with two sales at £87,345 and £91,000. The £170,000 and £195,000 sales are materially higher, but no bedroom, condition or specification details are supplied to establish comparability. A cautious base GDV of £91,000 is used, with a broad evidence-based scenario range of £84,500–£195,000.

Investment Snapshot

Strategy Recommendation

Proceed only with full legal, condition and cost due diligence. Subject to an acceptable inspection and total auction-cost review, the property appears more suited to cautious buy-to-let than a flip, but bidding should remain below a separately calculated affordability limit.

Works Required

No specific defects or refurbishment requirements are evidenced. Allow for inspection-led works only; the supplied description supports no quantified works budget.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

Using the £75,000 upper guide, £3,600 known admin charge and no refurbishment allowance, indicative base cost is £78,600. At a £91,000 base GDV, 75% refinancing is £68,250, leaving approximately £10,350 before finance, tax and other costs. The analysis is highly sensitive to the unquantified buyer premium, other charges, actual condition and achievable rent.

Buy-to-Let Analysis

The only rental evidence is an advertised £450 pcm asking rent for a two-bedroom house in Firs Avenue, DE55, not an achieved rent for this property. Using £450 pcm and the upper £75,000 guide gives £5,400 annual rent and a 7.20% gross yield. Including the known £3,600 admin charge gives an indicative 6.87% gross yield, before buyer premium, other auction charges, finance, maintenance, voids and management.

Flip Analysis

A £91,000 base GDV less the £78,600 base cost indicates £12,400 before selling costs, finance, tax, buyer premium, other auction charges and any works. No supported selling allowance or refurbishment budget is available, so a formal flip surplus cannot be established. The wide same-road sales range also makes resale value uncertain.

Investor Risks & Due Diligence

• Property condition and any required works are not evidenced.

• Buyer premium is unspecified and additional search, legal, transfer and seller-cost charges may apply.

• The £450 pcm figure is an advertised asking rent for another street and is not an achieved rent for the subject property.

• Same-road sold prices vary widely from £84,500 to £195,000, with insufficient detail to explain the variance.

• No supported selling allowance, finance cost, tax cost or refurbishment allowance is available.

• Parking and heating information are not supplied.

Recommendation

Proceed only with full legal, condition and cost due diligence. Subject to an acceptable inspection and total auction-cost review, the property appears more suited to cautious buy-to-let than a flip, but bidding should remain below a separately calculated affordability limit.

Strategy Rating

Analysis Confidence

There is useful same-road sold evidence and indicative rental evidence, but the comparable specifications, property condition, achieved rent, buyer premium, other charges and refurbishment requirements are not supplied.