27 The Drive, Erdington, Birmingham, B23 7NG

Description

A vacant leasehold semi detached property. The freehold is purchasable; see legal pack for details. The property is in need of modernisation and benefits from gas central heating and double glazing.

Accommodation

Ground Floor: Porch, Hall, Understairs Cupboard, Two Reception Rooms, Kitchen. First Floor: Landing, Three Bedrooms, Bathroom, WC. Outside: Driveway, Garage and Gardens.

Location

A semi-detached property standing back from the road behind a driveway and foregarden, in Erdington, Birmingham.

Tenure / Property Information

Investment Analysis

The strongest supplied evidence is 20 The Drive, a leasehold semi-detached property sold for £165,000 in July 2021. Earlier sales on the same road were £124,000 in 2004, £49,000 in 2001 and £46,500 in 1997. The £165,000 sale is a useful but dated and condition-unadjusted reference; the subject's approximately nine years of lease term remaining creates a material comparability and value risk. A reliable current GDV range cannot be established from the supplied evidence alone.

Investment Snapshot

Strategy Recommendation

Do not bid on the supplied evidence alone. Treat this as a potential value-add or flip opportunity only after confirming the lease/freehold position, obtaining a full survey and priced works schedule, and establishing a current resale value. The short lease is the principal issue.

Works Required

Modernisation is required, but the evidence does not specify the scope or severity of works. Obtain a full inspection and contractor quotations before bidding. Review the kitchen, bathroom/WC, decoration, flooring, electrics, plumbing, heating, windows, roof, external areas and garage only where inspection identifies necessary works; do not assume replacement is required.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

A provisional BRRR case could reference a £165,000 2021 same-road sale and a theoretical 75% refinance figure of £123,750, but this is not a dependable refinance valuation. Works costs, current GDV, rent, finance costs and the effect of the short lease are unsupported. The freehold is stated to be purchasable, but its price and terms are unknown and must be confirmed in the legal pack.

Buy-to-Let Analysis

BTL cannot be properly assessed because no sufficiently specific rental comparable or auctioneer rent estimate is supplied. The approximately nine-year unexpired lease, vacant possession and unspecified modernisation add further uncertainty. The £2,700 buyer administration charge is payable in addition to the purchase price, with other possible legal-pack costs unknown.

Flip Analysis

A flip surplus cannot be calculated because refurbishment costs, current resale value, selling costs and the effect of the short lease are not evidenced. The £165,000 2021 comparable provides only a dated reference point. The known guide price plus administration charge is £41,700 before works, stamp duty, other legal-pack costs and any finance or selling costs.

Investor Risks & Due Diligence

• Approximately nine years of lease term remain; lease extension, mortgageability and resale implications are not quantified.

• The freehold is stated to be purchasable, but its price and terms are unknown.

• The property needs modernisation, but no inspection findings or works quotations are supplied.

• No sufficiently specific rental evidence is available, so rental yield cannot be established.

• The principal same-road comparable is a July 2021 sale and may not reflect current value or the subject property's condition and lease position.

• The £2,700 administration charge is payable on the fall of the gavel, with additional legal-pack costs possible.

• Stamp duty and government taxes are excluded from the supplied auction costs.

Recommendation

Do not bid on the supplied evidence alone. Treat this as a potential value-add or flip opportunity only after confirming the lease/freehold position, obtaining a full survey and priced works schedule, and establishing a current resale value. The short lease is the principal issue.

Strategy Rating

Analysis Confidence

The property description, tenure, guide price, administration charge and several sold comparables are supplied, but there is no rent evidence, no quantified works schedule, no current comparable evidence, no freehold purchase price and no details of other completion costs.