Flat 1, 48 Dover Road, Folkestone, Kent, CT20 1LD

Description

A Ground Floor One Bedroom Flat Subject to a Periodic Tenancy Producing £8,300 Per Annum. The property comprises a ground floor one bedroom flat situated within a mid terrace building arranged over ground and two upper floors.

Accommodation

Ground Floor: Reception Room with Open-Plan Kitchen; Bedroom; Bathroom.

Location

The property is situated on a residential road close to local shops and amenities. The open spaces of Mermaid Beach are within easy reach. Transport links are provided by Folkstone Central rail station.

Tenure / Property Information

Investment Analysis

Evidence indicates a wide value range: £60,000 for 48 Dover Road in March 2025, and £110,000–£117,000 for nearby Dover Road flats. The comparables do not confirm identical accommodation, condition, lease terms or tenancy status. A cautious base GDV of £110,000 is used, with £60,000 low and £117,000 high scenarios. The subject’s approximately 85-year lease, periodic tenancy and pending lease-extension process create material valuation uncertainty.

Investment Snapshot

Strategy Recommendation

Potential income-led purchase at or near the guide, subject to satisfactory legal-pack, tenancy, lease-extension and building-cost checks. Do not rely on the base GDV or pursue a flip without further valuation and cost evidence.

Works Required

No refurbishment works are evidenced. Obtain inspection and legal-pack information before budgeting for repairs, compliance items, lease extension costs or tenant-related works.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

Using the £110,000 base GDV, 75% refinancing equates to £82,500. Known acquisition cost at the guide is £61,800 including the £1,800 admin charge, excluding unquantified works, finance, tax, lease-extension costs and disbursements. On that limited basis, the indicative difference is £20,700 in excess of known acquisition cost, but refinanceability and lender valuation are unconfirmed.

Buy-to-Let Analysis

The stated rent is £8,300 per annum, equivalent to approximately £691.67 pcm. Against the £60,000 guide, the gross yield is approximately 13.83%, or 13.43% including the known £1,800 admin charge. This excludes finance, maintenance, management, insurance, service charge, ground rent, voids, tax and any lease-extension or disbursement costs. No external rental comparables or passing-rent verification have been supplied.

Flip Analysis

A base GDV of £110,000 is supported only by a nearby comparable and is not confirmed as an identical flat. No refurbishment budget, selling-cost allowance, finance cost or tax allowance is evidenced, so a reliable flip surplus cannot be calculated. The lease, tenancy and comparable differences make a resale strategy uncertain.

Investor Risks & Due Diligence

• Periodic tenancy terms, tenant status and vacant-possession position require legal and tenancy verification.

• Approximately 85 years remain on the lease; lease-extension cost, premium and process are not supplied.

• The section 42 notice is to be served before completion and assigned to the buyer; enforceability and legal costs require solicitor confirmation.

• Special-condition disbursements, search fees, seller costs, legal fees and transfer fees may be payable but are not quantified.

• EPC rating is E and no improvement requirements or costs are supplied.

• No service charge, ground rent, council tax, insurance, maintenance or building-management costs are provided.

• The £110,000 base GDV relies on a nearby sale and may not reflect this flat’s condition, lease or tenancy; an exact-address sale at £60,000 indicates substantial uncertainty.

Recommendation

Potential income-led purchase at or near the guide, subject to satisfactory legal-pack, tenancy, lease-extension and building-cost checks. Do not rely on the base GDV or pursue a flip without further valuation and cost evidence.

Strategy Rating

Analysis Confidence

The actual annual rent, guide, admin charge, tenure, lease term and several local completed sales are supplied, but there are no specific rental comparables, no condition or works evidence, no service-charge or ground-rent information, incomplete fee data, and the sales comparables may not be directly comparable.