Flat 41 St. Johns Court, New Road, Manchester, Lancashire, M26 1NH

Description

Vacant leasehold self-contained ground floor flat with a reception room, two bedrooms, kitchen and bathroom; GIA approximately 62 sq m (667 sq ft).

Accommodation

Reception room, two bedrooms, kitchen and bathroom; GIA approximately 62 sq m (667 sq ft).

Location

The property is situated off St John's Court, to the south of New Road. Extensive shops and amenities are available nearby within Riverside Retail Park. Farnworth Train Station is approximately 2.9 miles to the west. The M60 motorway is to the south. Coronation Park is nearby.

Tenure / Property Information

Investment Analysis

The strongest evidence is a completed £55,000 sale at St. Johns Court in February 2024. The guide of £50,000 is below that comparable, but there is only one recent sale and the lease terms, condition, service charge and other property-specific factors are unknown. A base GDV of £55,000 is used, with a low scenario at the £50,000 guide and no support for a higher value above £55,000.

Investment Snapshot

Strategy Recommendation

Do not bid on the current evidence unless the legal pack confirms acceptable lease terms, charges and condition and the purchase price remains materially below the supported £55,000 value. The supplied rent evidence does not support a conventional BTL or BRRR strategy.

Works Required

No physical defects or refurbishment requirements are evidenced. Allowance should be made only after inspection and review of the legal pack; lease terms, service charge and any required compliance works remain unconfirmed.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

At the £50,000 guide, 75% of the £55,000 base GDV would be approximately £41,250. Refurbishment costs, acquisition charges and finance costs are unavailable, so cash required and refinance surplus cannot be established. The limited value uplift over guide does not demonstrate a viable BRRR outcome.

Buy-to-Let Analysis

The only rental evidence is an advertised asking rent of £77.74 pcm for a two-bedroom flat in M26, producing £932.88 annually. This implies approximately 1.87% gross yield against the £50,000 guide before costs, but the rent evidence is limited and no achieved rent or auctioneer estimate is supplied. Leasehold charges, voids, management, maintenance and finance costs are unavailable, so the investment case cannot be reliably established.

Flip Analysis

The recent same-development comparable supports a £55,000 base resale value against the £50,000 guide. However, refurbishment, acquisition, finance and selling costs are unknown, so a flip surplus cannot be calculated. The £5,000 gross difference before costs provides limited apparent margin.

Investor Risks & Due Diligence

• Lease length and other lease terms are not supplied and must be checked in the legal pack.

• Service charge, ground rent and any leasehold arrears or restrictions are unknown.

• The only rental evidence is a single advertised asking rent of £77.74 pcm, with no achieved rent or auctioneer estimate.

• Physical condition and any refurbishment requirements are not evidenced.

• Buyer, administration, seller and third-party charges are unspecified.

• Finance, acquisition and resale costs cannot be established from the supplied evidence.

Recommendation

Do not bid on the current evidence unless the legal pack confirms acceptable lease terms, charges and condition and the purchase price remains materially below the supported £55,000 value. The supplied rent evidence does not support a conventional BTL or BRRR strategy.

Strategy Rating

Analysis Confidence

There is one recent same-development sale and a stated guide, but no lease details, condition assessment, refurbishment budget, buyer/admin fees, service charge, EPC, council tax, achieved rent or reliable rental evidence.