9 Lime Grove, off Florence Road, Smethwick, B66 4QP

Description

A vacant freehold mid terraced property. The property is in need of modernisation.

Accommodation

Ground Floor: Reception Room, Dining Kitchen, Bathroom/WC. First Floor: Landing, Two Bedrooms. Outside: Gardens.

Location

Accessed via a walkway, standing back behind a foregarden.

Tenure / Property Information

Investment Analysis

The supplied sold evidence is highly inconsistent: comparable sales range from £104,000 in 2021 to £240,000 in 2024 for properties on the same street. A provisional base GDV of £172,000 is used as the midpoint of these two most recent sales, but confidence is low because property condition, specification and the reason for the significant price difference are not supplied. The £240,000 sale may represent a materially different condition or specification, but this cannot be confirmed.

Investment Snapshot

Strategy Recommendation

Proceed only after reviewing the legal pack and obtaining a detailed inspection and refurbishment quotation. The guide should not be treated as a maximum bid because the comparable evidence is contradictory and the works budget is unknown.

Works Required

Modernisation is required, but the evidence does not specify the defects or scope. Any works assessment should be based on inspection and the legal pack, including the condition of the kitchen, bathroom, decoration, flooring, heating, glazing and external areas; these items must not be costed reliably from the supplied information alone.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

A BRRR assessment cannot be completed reliably because refurbishment costs, total acquisition costs, finance terms, achievable valuation and refinance costs are unavailable. At the provisional £172,000 base GDV, 75% refinance is £129,000, but the cash position after purchase and works cannot be calculated.

Buy-to-Let Analysis

Advertised asking rents for comparable two-bedroom properties are £900–£1,095 pcm, equivalent to £10,800–£13,140 per year. Against the £118,000 guide, this indicates an ungeared gross yield range of approximately 9.15%–11.14%, before the £2,700 administration charge, refurbishment, maintenance, voids, management, finance and tax. Net yield and sustainable rent cannot be established from the evidence.

Flip Analysis

The provisional GDV range is £104,000–£240,000, based solely on the supplied same-street sales. Flip profitability cannot be established because the required modernisation budget, additional auction costs, purchase taxes, finance costs, selling costs and achievable resale value are not sufficiently evidenced.

Investor Risks & Due Diligence

• The supplied sold comparables range widely from £104,000 to £240,000, creating substantial valuation uncertainty.

• The property is stated to need modernisation, but no condition schedule or refurbishment budget is provided.

• The £2,700 administration charge is payable in addition to the purchase price.

• Additional costs may be listed in the legal pack and are not quantified.

• The property is accessed via a walkway and stands behind a foregarden; the practical implications should be checked during due diligence.

• Advertised rents are asking rents and may not be achieved.

Recommendation

Proceed only after reviewing the legal pack and obtaining a detailed inspection and refurbishment quotation. The guide should not be treated as a maximum bid because the comparable evidence is contradictory and the works budget is unknown.

Strategy Rating

Analysis Confidence

The property description, tenure, vacancy, guide, administration fee, two rental asking rents and same-street sales are supplied, but condition scope, refurbishment costs, special-condition costs, achievable rent, valuation basis and resale costs are not.