Flat 1 Summerhill, Birkenhead, Merseyside, CH42 1PP

Description

A ground-floor flat with one-bedroom and separate entrance. The accommodation comprises, a living room, a kitchen, a bedroom and a bathroom. The total approximate floor area, as taken from the EPC is 53m2. All services/appliances have not and will not be tested.

Accommodation

Living room, kitchen, bedroom and bathroom; separate entrance.

Location

Located close to the sea front, with good access to all amenities and transport links.

Tenure / Property Information

Investment Analysis

The four completed sales are for Summerhill and range from £80,000 to £85,000, but all completed in December 2006/January 2007. They provide historical building-specific evidence only and do not support a current GDV without more recent comparables. The £27,000 guide is materially below those historic sales, but condition, current market value and refurbishment requirement are not evidenced.

Investment Snapshot

Strategy Recommendation

Do not bid on the current evidence alone. Consider only after obtaining current comparable evidence, inspecting condition, confirming leasehold costs and verifying achievable rent; the available data is more supportive of further BTL due diligence than a quantified BRRR or flip.

Works Required

No specific defects or refurbishment works are evidenced. Before bidding, inspect the flat and verify the condition and operation of the services and appliances, which have not been tested. Any works budget remains unsupported.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

A BRRR assessment cannot be completed because current GDV, refurbishment cost and a finance-complete project cost are not supported. The historic £80,000–£85,000 sales cannot be treated as current refinance values. The £1,200 minimum buyer premium is payable, with other possible disbursements also noted by the auctioneer.

Buy-to-Let Analysis

The supplied rental evidence is £800–£890 pcm advertised asking rent, not achieved or passing rent. Against the £27,000 guide, this implies an indicative gross yield of 35.56%–39.56% before the £1,200 minimum buyer premium, refurbishment, finance, voids, management, service charges, insurance and other costs. A reliable net yield or total-cost yield cannot be established.

Flip Analysis

A flip surplus cannot be calculated because there is no current GDV, supported works allowance or supported selling-cost allowance. The historic comparable sales are too old to establish a current resale value, and the property condition is not evidenced.

Investor Risks & Due Diligence

• All services and appliances have not and will not be tested.

• Rental figures are advertised asking rents rather than achieved or passing rents.

• The sold comparables are from 2006–2007 and do not establish current market value.

• Additional search fees, seller-cost reimbursements, legal fees, transfer fees and other disbursements may be payable.

• Leasehold service charges and other ongoing lease costs are not supplied.

• No current occupancy or passing-rent information is supplied.

Recommendation

Do not bid on the current evidence alone. Consider only after obtaining current comparable evidence, inspecting condition, confirming leasehold costs and verifying achievable rent; the available data is more supportive of further BTL due diligence than a quantified BRRR or flip.

Strategy Rating

Analysis Confidence

The property description, tenure, guide, buyer premium, historic completed sales and advertised rents are supplied, but current valuation, condition, works cost, passing rent, service charges and full completion costs are not.