17 Reeves Road, Derby, Derbyshire

Description

Vacant freehold mid-terrace house by order of a housing association. Ground floor with two reception rooms and kitchen; first floor with two bedrooms and bathroom; rear garden. GIA approximately 67 sq m (721 sq ft).

Accommodation

Ground floor: two reception rooms and kitchen. First floor: two bedrooms and bathroom. Rear garden. GIA approximately 67 sq m (721 sq ft).

Location

Situated on the south east side of Reeves Road. The shops and amenities of Derby are to the north west. Derby train station is approximately 1.1 miles to the north. The A5111 is to the south and Derby Arboretum is to the north.

Tenure / Property Information

Investment Analysis

Same-road completed sales range from £75,000 to £127,000. The £127,000 sale is materially above the other evidence and is not adopted as the central case because bedroom count and condition are unavailable. A base GDV of £88,000 is supported by the £88,000 sale at 81 Reeves Road, with low and high scenarios of £77,000 and £105,000 respectively. The guide is £85,000, but condition, specification and sale costs remain unverified.

Investment Snapshot

Strategy Recommendation

Investigate as a cautious buy-to-let only if inspection confirms acceptable condition and the £950 pcm asking rent is achievable. Do not bid above a separately calculated limit until works, fees and legal matters are known.

Works Required

No specific defects or required works are evidenced. A viewing, survey and checks of services, compliance and vacant condition are required before setting a refurbishment budget.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

At the £88,000 base GDV, 75% refinancing would provide approximately £66,000. A reliable cash-left-in calculation is not possible because refurbishment costs, acquisition charges and finance costs are unavailable. BRRR viability is therefore unconfirmed.

Buy-to-Let Analysis

At the £85,000 guide, the £950 pcm figure gives an indicative gross yield of 13.41%. This is based on one advertised asking rent, not achieved rent, and excludes finance, management, maintenance, voids, insurance, tax and any buyer or seller charges. The yield on total project cost cannot be established because works and charges are not supplied.

Flip Analysis

The base GDV is estimated at £88,000 against an £85,000 guide, leaving very limited apparent headroom before works, acquisition costs, finance and resale costs. A flip surplus cannot be calculated without a supported works budget and selling allowance.

Investor Risks & Due Diligence

• The property condition and required works are not evidenced.

• The £950 pcm figure is an advertised asking rent rather than achieved rent.

• Buyer, administration, finance and other transaction charges are not supplied.

• Comparable sale prices vary materially from £75,000 to £127,000, with limited specification and condition information.

• The guide price leaves little evidenced margin against the £88,000 base GDV before costs.

Recommendation

Investigate as a cautious buy-to-let only if inspection confirms acceptable condition and the £950 pcm asking rent is achievable. Do not bid above a separately calculated limit until works, fees and legal matters are known.

Strategy Rating

Analysis Confidence

There are several same-road completed sales and one advertised rental, but bedroom and condition details for comparables, property condition, EPC, council tax, buyer fees, administration charges and refurbishment costs are unavailable.