Flat 1, 10 East Street, Blandford Forum, Dorset

Description

By Order of the Mortgagees in Possession. Leasehold ground floor flat.

Accommodation

Two bedrooms, reception room, kitchen, bathroom/wc.

Location

Located on East Street. Shopping amenities are available locally within Blandford Forum Town Centre. Public transport links are available at Gillingham Train Station to the north west and Poole Train Station to the south east, along with local bus services. Road links include the A354 to the south and A350 to the north. Recreational pursuits include Stour Meadows Park to the south and Milldown Nature Reserve to the north.

Tenure / Property Information

Investment Analysis

The supplied completed sales are leasehold flats/maisonettes on East Street, including £142,000 for 10 East Street in December 2022 and £138,000 for the same address in September 2021. A supported scenario range is £138,000–£151,000, with £142,000 used as the base GDV. These are historical comparables and do not establish the value of this specific flat today. No condition-based refurbishment allowance is evidenced.

Investment Snapshot

Strategy Recommendation

Conditional BTL or BRRR only after confirming the Legal Pack, lease length, ground rent, service charge, mortgageability and achievable rent. Do not bid solely on the headline yield or GDV; no maximum bid is supported by the available evidence.

Works Required

No specific defects or refurbishment works are evidenced. Allow for inspection and routine preparation only if required, and verify the lease, service charge, ground rent, parking, heating and any seller’s additional completion fees in the Legal Pack before bidding.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

At the £65,000 guide, adding the stated £1,500 documentation fee and no evidenced works allowance gives a £66,500 base cost. A 75% refinance of the £142,000 base GDV would be £106,500, implying £40,000 of capital left in before finance, tax and any other costs. The 75-year/76-year lease discrepancy and lease information awaiting review may materially affect mortgageability, valuation and refinance terms.

Buy-to-Let Analysis

The only supplied rental evidence is an advertised £1,750 pcm asking rent for a two-bedroom property in DT11; it is not confirmed as the subject flat and is not an achieved rent. Using it as an indicative figure gives £21,000 annual rent, a 32.31% gross yield on the £65,000 guide and 31.58% on the £66,500 guide plus the stated £1,500 documentation fee. Actual yield requires confirmation of achievable rent, service charge, ground rent, insurance, finance and other costs.

Flip Analysis

Using the £142,000 base GDV and £66,500 base acquisition cost gives a gross difference of £75,500 before selling costs, finance, tax, refurbishment and any other completion charges. A net flip surplus is not calculated because no supported selling-cost allowance or refurbishment budget is provided. Historical comparable values and the short lease make the resale assumption uncertain.

Investor Risks & Due Diligence

• The listing gives conflicting lease terms of 76 years remaining and 75 years as of the auction date; lease information is still awaited.

• The £1,750 pcm figure is an advertised area asking rent, not an achieved rent or confirmed rent for this flat.

• The buyer documentation fee is stated as both £1,500 and £1,800 inclusive of VAT; the higher figure may apply.

• The seller may charge additional completion fees under the Special Conditions of Sale, but no amount is supplied.

• No service charge, ground rent, insurance, lease restrictions or lease-extension terms are supplied.

• Parking and heating arrangements are unconfirmed.

• The GDV scenarios rely on historical completed sales and may not reflect current value or the specific condition of the flat.

• No condition survey or refurbishment cost evidence is supplied.

Recommendation

Conditional BTL or BRRR only after confirming the Legal Pack, lease length, ground rent, service charge, mortgageability and achievable rent. Do not bid solely on the headline yield or GDV; no maximum bid is supported by the available evidence.

Strategy Rating

Analysis Confidence

There are several relevant completed sales and one area rental asking figure, but the comparables are historical, the rent is not confirmed for the subject flat, the lease details conflict, and condition, service charges, ground rent, parking, heating and seller fees are unresolved.