361 Radford Road, Nottingham, Nottinghamshire, NG7 7NQ

Description

Fully licensed HMO with an HMO licence already in place, allowing rental income to continue uninterrupted from day one. Potential gross rental income of £30,000 per annum. The property has five bedrooms, a spacious kitchen, shared living area, communal kitchen and bathroom, additional WC, and a large cellar suitable for storage.

Accommodation

Basement: Living Room, Kitchen. Ground Floor: 1 Bedroom, Living Room, Kitchen. First Floor: 2 Bedrooms, W/C, Shower Room. Second Floor: 2 Bedrooms.

Location

Set off Radford Road, near the heart of Nottingham. NG7 is described as a proven, top-performing postcode for HMO demand in Nottingham. The location is suitable for students and professionals.

Tenure / Property Information

Investment Analysis

The guide is £185,000. Relevant completed sales include the same property at £193,160 in March 2021, with nearby Radford Road terraced sales at £166,000 in 2022 and £150,000 in 2023. These are historical sales and do not establish a current formal valuation. A reasonable evidence-based scenario range is £166,000–£193,160, with £185,000 adopted as the base GDV, broadly aligned with the guide and the same-property sale.

Investment Snapshot

Strategy Recommendation

Consider as a hold-to-let licensed HMO, subject to verifying the licence, actual room income, occupancy, compliance and full auction costs. Do not rely on a BRRR or flip strategy without confirmed costs and valuation evidence.

Works Required

No specific defects or refurbishment requirements are evidenced. Allow for inspection, confirmation of HMO licence compliance, and any legally or operationally required works identified during due diligence; no works allowance can be quantified from the supplied evidence.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

At the £185,000 base GDV, 75% refinance is approximately £138,750. The known purchase price plus the £3,600 administration charge is £188,600 before any refurbishment, legal, search, seller-cost reimbursement, transfer, buyer-premium or other charges. Because total project costs and finance assumptions are unavailable, the cash requirement and BRRR viability cannot be established.

Buy-to-Let Analysis

The auctioneer estimates potential gross rent of £30,000 per annum, equivalent to £2,500 pcm or £500 per room. Against the £185,000 guide this indicates a gross yield of approximately 16.22%. The rent is an estimate rather than achieved passing rent, and no external rental comparables or operating costs were supplied. Yield on total cost cannot be established because refurbishment and additional auction costs are unknown.

Flip Analysis

A flip case cannot be reliably quantified. The base GDV is £185,000, but refurbishment costs, full acquisition costs, selling costs and selling-period assumptions are unavailable. The apparent difference between GDV and the guide is insufficient to demonstrate a resale margin.

Investor Risks & Due Diligence

• The £30,000 annual rent is an auctioneer estimate, not verified passing rent or achieved market rent.

• No external rental comparables or operating-cost information were supplied.

• Special Conditions may create additional search, legal, seller-cost reimbursement, transfer, buyer-premium and disbursement charges that are not quantified.

• No property condition survey or refurbishment cost evidence was supplied.

• The HMO licence is described as being in place, but licence terms, expiry, planning position and compliance documentation were not provided.

• The completed sales evidence is historical and may not reflect current market value.

Recommendation

Consider as a hold-to-let licensed HMO, subject to verifying the licence, actual room income, occupancy, compliance and full auction costs. Do not rely on a BRRR or flip strategy without confirmed costs and valuation evidence.

Strategy Rating

Analysis Confidence

The guide, freehold tenure, accommodation, HMO description, one same-property completed sale, nearby sales and auctioneer rent estimate are supplied. However, the rental estimate is not independently verified, sales are historical, and condition, occupancy, full fees and refurbishment costs are unavailable.