4 Milburn Street, Crook, County Durham

Description

A Four Bedroom Mid Terrace House Subject to a Periodic Tenancy Producing £6,000 Per Annum.

Accommodation

Ground Floor: Reception Room, Kitchen. First Floor: Four Bedrooms, Bathroom. Exterior: Rear yard.

Location

Situated on a residential road close to local shops and amenities. Numerous green open spaces are within easy reach. Transport links are provided by the A68 and A689.

Tenure / Property Information

Investment Analysis

Five completed sales on Milburn Street range from £98,000 to £135,000, averaging £109,600. A base GDV of £110,000 is used, with a low scenario of £98,000 and high scenario of £135,000. This remains indicative because the subject property's condition and the comparables' specifications are not supplied.

Investment Snapshot

Strategy Recommendation

Prioritise a buy-to-let approach subject to satisfactory legal-pack review, tenancy verification and inspection. Do not rely on the £2,000 pcm asking-rent evidence or proceed on the apparent resale margin without confirming condition and all auction costs.

Works Required

No specific refurbishment works are supported by the evidence. Obtain inspection and legal-pack information before budgeting works. Any maintenance or compliance requirements remain unquantified.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

At the £110,000 base GDV, 75% refinancing is estimated at £82,500. Against the £51,800 purchase-and-known-cost basis, this indicates approximately £30,700 of nominal cash release before finance, tax, refinancing and unquantified auction costs. Actual refinancing depends on lender valuation, tenancy acceptance, property condition and the legal position.

Buy-to-Let Analysis

Using the guide midpoint of £50,000, the existing £500 pcm rent produces £6,000 per annum and a 12.00% gross yield before costs. Including the stated £1,800 administration charge, the gross yield is approximately 11.58%. The £2,000 pcm rental listing is only an advertised asking rent and is not evidence of achievable rent for this property. The periodic tenancy, long occupation and legal-pack terms require review.

Flip Analysis

The base GDV of £110,000 provides substantial apparent headroom over the £51,800 purchase-and-known-cost basis, but no refurbishment allowance, selling-cost allowance, buyer premium or other auction charges have been supplied. A reliable flip surplus cannot therefore be calculated.

Investor Risks & Due Diligence

• The property is occupied under a periodic tenancy, with a tenant reportedly in occupation for 16 years.

• The passing rent is £500 pcm, while the £2,000 pcm figure is only an advertised asking rent for another property and may not be achievable here.

• Buyer premium and other possible auction, legal and disbursement charges are not quantified.

• No condition, refurbishment requirement, parking, heating or council-tax information is supplied.

• GDV is inferred from nearby completed sales without subject-specific condition or accommodation comparisons.

Recommendation

Prioritise a buy-to-let approach subject to satisfactory legal-pack review, tenancy verification and inspection. Do not rely on the £2,000 pcm asking-rent evidence or proceed on the apparent resale margin without confirming condition and all auction costs.

Strategy Rating

Analysis Confidence

Completed same-street sales and an existing rent are available, but condition, achievable vacant-market rent, buyer premium, additional fees and tenancy/legal details are incomplete.