70 Dutton Lane, Eastleigh, Hampshire, SO50 6AB

Description

A Five Bedroom Fully Licensed HMO Let Producing £32,520 Per Annum (Reflecting a Gross Initial Yield of 14.1%). Potential for a Rear Extension (Subject to Obtaining all Relevant Consents)

Accommodation

Ground Floor: Two Bedrooms, Kitchen. First Floor: Three Bedrooms, Bathroom. The property is arranged over ground and first floors.

Location

The property is situated on a residential road close to local shops and amenities. The open spaces of Bishopstoke Road Playing Field are within easy reach. Transport links are provided by Eastleigh rail station.

Tenure / Property Information

Investment Analysis

Completed sales on Dutton Lane range from £230,000 to £310,000: £230,000 in June 2026, £290,000 in July 2025, £295,000 in March 2025, £310,000 in March 2024 and £255,000 in May 2023. A cautious HB base GDV of £290,000 is adopted, with £230,000 low and £310,000 high scenarios. The comparables do not provide bedroom, HMO, condition or tenancy details, so their relevance to this five-bedroom licensed HMO is limited.

Investment Snapshot

Strategy Recommendation

Consider as a buy-to-let HMO only if the stated £32,520 annual income, individual tenancies, full licence and legal position are verified. Do not rely on the rear extension or pursue a flip without verified costs and a more relevant valuation.

Works Required

No specific defects or refurbishment works are evidenced. Any works should be limited to maintenance or compliance items identified through inspection and the legal pack. The potential rear extension must not be assumed and would require all relevant consents.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

Using the £290,000 base GDV, 75% refinancing is approximately £217,500. This is below the £230,000 guide before the known £1,800 admin charge, any disbursements and any works, so the evidence does not support a cash-neutral BRRR outcome. Further valuation and cost evidence would be required.

Buy-to-Let Analysis

The supplied property description states annual income of £32,520, equivalent to £2,710 pcm, producing 14.14% gross yield against the £230,000 guide before the £1,800 admin charge and any other costs. The income is subject to individual tenancies and has not been independently supported by external rental evidence. Operating costs, voids, finance and compliance costs are unavailable, so net yield cannot be established. BTL is potentially attractive subject to verifying the tenancy schedule, licensing and income.

Flip Analysis

At the £230,000 guide, the base GDV implies a £60,000 gross difference before works, purchase costs, finance, selling costs and tax. No refurbishment allowance or selling-cost allowance is supported, so a reliable flip surplus cannot be calculated. The comparables also lack HMO and condition detail.

Investor Risks & Due Diligence

• The stated £32,520 annual income is not supported by external rental evidence and is subject to individual tenancies.

• HMO licence status, tenancy terms, compliance records and actual rent collection require verification.

• The local comparables do not confirm equivalent five-bedroom HMO properties or condition.

• Buyer premium is not supplied and legal-pack disbursements or other charges may be payable.

• The rear extension is only potential and requires all relevant consents.

• Refinance proceeds at 75% of the base GDV would be below the guide price before fees and works.

Recommendation

Consider as a buy-to-let HMO only if the stated £32,520 annual income, individual tenancies, full licence and legal position are verified. Do not rely on the rear extension or pursue a flip without verified costs and a more relevant valuation.

Strategy Rating

Analysis Confidence

There are several completed local sales and a stated annual income, but the comparables lack HMO, bedroom and condition detail; no external rental evidence, refurbishment costs, buyer premium or full purchase-cost schedule is supplied.