Flat 5, 2 Victoria Road, Colchester, Essex

Description

A two bedroom top-floor apartment requiring refurbishment throughout, located in a desirable area of Colchester. Top floor two bedroom apartment requiring refurbishment throughout, offering excellent potential to modernise. The accommodation includes a spacious lounge/kitchen area, master bedroom, small single bedroom, bathroom, and an entrance hall with a useful study area. The property also benefits from parking, making it an ideal opportunity for investors or buyers looking to add value.

Accommodation

Spacious lounge/kitchen area, master bedroom, small single bedroom, bathroom, and an entrance hall with a useful study area.

Location

Located in a desirable area of Colchester.

Tenure / Property Information

Investment Analysis

Sold evidence on Victoria Road ranges from £180,000 to £226,000, including £226,000 for 6 Victoria Road in May 2026 and £180,000 for 4 Victoria Road in July 2024. These are relevant local indicators but do not confirm identical size, condition, floor or lease terms. A cautious base GDV estimate is £205,000, with a supported evidence range of £180,000–£226,000. The £75,000 guide is substantially below these sale indicators, but refurbishment costs, lease details and selling costs are not supplied.

Investment Snapshot

Strategy Recommendation

Proceed only if the legal pack confirms acceptable lease terms and a surveyor/contractor provides a reliable refurbishment budget. The low guide creates apparent value, but the 60-year lease and unknown total costs make this unsuitable for an unconditional bid based on headline yield alone.

Works Required

Refurbishment throughout, as described by the auctioneer. The likely scope is modernisation of the lounge/kitchen, master bedroom, small single bedroom, bathroom and entrance hall/study area. No detailed specification or cost plan is supplied.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

At the base GDV estimate of £205,000, 75% refinancing equates to £153,750. However, total project cost cannot be calculated because refurbishment costs and leasehold costs are unavailable. The 60-year remaining lease is a material refinance and valuation risk and could restrict lender appetite or require lease extension action.

Buy-to-Let Analysis

The only rental evidence is an advertised asking rent of £1,195 pcm, equating to £14,340 annually. This produces a gross yield of approximately 19.1% against the £75,000 guide, before the £2,700 stated buyer and administration charges, refurbishment, financing and ongoing leasehold costs. Yield on total project cost cannot be established because refurbishment, service charge, ground rent and other costs are unknown. The 60-year remaining lease may also affect tenant demand, lending and resaleability.

Flip Analysis

The local sale evidence supports a potential post-works value range of £180,000–£226,000, with a £205,000 base case. A flip surplus cannot be calculated because refurbishment costs, selling costs and any legal-pack disbursements are not supplied. The short remaining lease may also reduce the achievable resale price or buyer pool.

Investor Risks & Due Diligence

• Only 60 years remain on the lease, creating potential lending, refinancing and resale restrictions.

• The flat is described as requiring refurbishment throughout, but no scope or cost estimate is supplied.

• The £1,195 pcm figure is an advertised asking rent rather than an achieved or passing rent.

• Service charge, ground rent and other leasehold costs are unknown.

• Buyer premium and administration charges total £2,700, with possible additional legal-pack disbursements and other charges.

• The sold comparables are nearby flats but their condition, size, lease terms and specification are not confirmed as identical.

Recommendation

Proceed only if the legal pack confirms acceptable lease terms and a surveyor/contractor provides a reliable refurbishment budget. The low guide creates apparent value, but the 60-year lease and unknown total costs make this unsuitable for an unconditional bid based on headline yield alone.

Strategy Rating

Analysis Confidence

There is useful local sold-price evidence, one advertised rent and clear guide/fee data, but no refurbishment budget, floor area, service charge, ground rent, detailed legal-pack information or confirmed rent.