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Property Deal Analysis Overview

The document outlines various property investment strategies including Buy-to-Let (BTL), Houses in Multiple Occupation (HMO), and Flats, detailing purchase prices, rental incomes, costs, and potential returns on investment. Each strategy includes a breakdown of acquisition costs, monthly cash flow, and equity created, with specific financial metrics such as return on investment and cash in deal. The document provides a comprehensive financial analysis for each property strategy, helping investors make informed decisions.

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Andrea
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as XLSX, PDF, TXT or read online on Scribd
74 views4 pages

Property Deal Analysis Overview

The document outlines various property investment strategies including Buy-to-Let (BTL), Houses in Multiple Occupation (HMO), and Flats, detailing purchase prices, rental incomes, costs, and potential returns on investment. Each strategy includes a breakdown of acquisition costs, monthly cash flow, and equity created, with specific financial metrics such as return on investment and cash in deal. The document provides a comprehensive financial analysis for each property strategy, helping investors make informed decisions.

Uploaded by

Andrea
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd

Property Address: <insert property address>

Purchase Price £145,000.00 (Your Cash) STRATEGY 1 - BTL HOLD AND RENT
Gross Monthly Property Rent £830.00
Works Budget £13,000.00 £13,000.00
Professional Fees Monthly MOE Rate 10%
<Insert detail> £ - Monthly MOE (..) £83.00
<Insert detail> £ - Monthly Management Fee Rate 9%
<Insert detail> £ - Monthly Management Fee (..) £74.70
Total Professional Fees £ - £ - Total Monthly Fees £157.70

Acquisition Costs Net Monthly Property Rent £672.30


Stamp Duty £400.00 £400.00 Net Annual Property Rent £8,067.60
Valuation £500.00 £500.00
Legal Fees £1,200.00 £1,200.00 Mortgage Interest
Broker Fees £500.00 £500.00 Mortgage Interest Rate 4.09%
Insurance (6 months) £0.00 £0.00 Mortgage Interest (pcm) £545.33
Any Other Fees £0.00 £0.00 Mortgage Interest (pa) £6,544.00
Total Acquisition Costs £2,600.00 £2,600.00
Property Monthly Cashflow £126.97
Deposit Property Annual Cashflow £1,523.60
Your Contribution (%) 25%
Your Contribution (£) £36,250.00 £36,250.00 RETURN ON INVESTMENT

Cost of Money: Property Annual Cashflow £1,523.60


LTV 75% Cash In Deal £9,843.75
Amount Borrowed £108,750.00
Interest Rate 9% Return on Investment (CID) 15%
Interest Per Month £815.63 No. years to recoup cash in deal: 6.5
Term (Months) 6
Interest for Term £4,893.75 Equity Created
In/Out Fees Rate 4% Realistic Selling Price £200,000.00
In / Out Fees £4,350.00 Refinance Amount Borrowed £160,000.00
Total Cost of Money £9,243.75 £9,243.75 Equity Created £40,000.00

TOTAL INVESTMENT £169,843.75


STRATEGY 2 - BTL FLIP
TOTAL CASH REQUIRED FOR ACQUISITION £61,093.75 Realistic Selling Price £200,000.00
Flip Refurb Costs £16,000.00
Estimated Value on Completion (Refinance) Total Investment incl Refurb £172,843.75
Realistic Selling Price £200,000.00 Agent Fees to Sell (%) 1.50%
Refinance LTV Rate: 80% Agent Fees to Sell £3,000.00
Maximum Refinance: £160,000.00 Legal Fees to Sell £900.00
Strategy 2 Profit £23,256.25
CASH IN DEAL £9,843.75 Left In Deal
Return on Investment (Flip) 38%
Property Address: <insert property address>

Purchase Price £145,000.00 (Your Cash) STRATEGY 1 - HMO HOLD AND RENT
Gross Monthly Property Rent
Works Budget £23,000.00 £23,000.00 Room Rent £460.00
Professional Fees Number of Rooms 5
<Insert detail> £ - Gross Monthly Property Rent £2,300.00
<Insert detail> £ -
<Insert detail> £ - Monthly Bills Allowance £300.00
Total Professional Fees £ - £ - Monthly MOE Rate 10%
Monthly MOE (..) £230.00
Acquisition Costs Monthly Management Fee Rate 11%
Stamp Duty £400.00 £400.00 Monthly Management Fee (..) £253.00
Valuation £500.00 £500.00 Total Monthly Fees £783.00
Legal Fees £1,200.00 £1,200.00
Broker Fees £500.00 £500.00 Net Monthly Property Rent £1,517.00
Insurance (6 months) £0.00 £0.00 Net Annual Property Rent £18,204.00
Any Other Fees £0.00 £0.00
Total Acquisition Costs £2,600.00 £2,600.00 Mortgage Interest
Mortgage Interest Rate 5.75%
Deposit Mortgage Interest (pcm) £718.75
Your Contribution (%) 25% Mortgage Interest (pa) £8,625.00
Your Contribution (£) £36,250.00 £36,250.00
Property Monthly Cashflow £798.25
Cost of Money: Property Annual Cashflow £9,579.00
LTV 75%
Amount Borrowed £108,750.00 RETURN ON INVESTMENT
Interest Rate 9%
Interest Per Month £815.63 Property Annual Cashflow £9,579.00
Term (Months) 6 Cash In Deal £29,843.75
Interest for Term £4,893.75
In/Out Fees Rate 4% Return on Investment (CID): 32%
In / Out Fees £4,350.00 No. years to recoup cash in deal: 3.1
Total Cost of Money £9,243.75 £9,243.75
Equity Created
TOTAL INVESTMENT £179,843.75 Realistic Selling Price £200,000.00
Refinance Amount Borrowed £150,000.00
TOTAL CASH REQUIRED FOR ACQUISITION £71,093.75 Equity Created £50,000.00

Estimated Value on Completion (Refinance)


Realistic Selling Price £200,000.00 STRATEGY 2 - HMO FLIP
Refinance LTV Rate: 75% Realistic Selling Price £200,000.00
Maximum Refinance: £150,000.00 Flip Refurb Costs
Total Investment incl Refurb £179,843.75
CASH IN DEAL £29,843.75 Left In Deal Agent Fees to Sell (%) 1.50%
Agent Fees to Sell £3,000.00
Legal Fees to Sell £900.00
Strategy 2 Profit £16,256.25

Return on Investment (Flip) 23%


Property Address: <insert property address>

Purchase Price £145,000.00 (Your Cash) STRATEGY 1 - FLATS HOLD AND RENT
Gross Monthly Property Rent £1,190.00
Works Budget £55,000.00 £55,000.00
Professional Fees Monthly MOE Rate 10%
<Insert detail> £ - Monthly MOE (..) £119.00
<Insert detail> £ - Monthly Management Fee Rate 9%
<Insert detail> £ - Monthly Management Fee (..) £107.10
Total Professional Fees £ - £ - Total Monthly Fees £226.10

Acquisition Costs Net Monthly Property Rent £963.90


Stamp Duty £400.00 £400.00 Net Annual Property Rent £11,566.80
Valuation £500.00 £500.00
Legal Fees £1,200.00 £1,200.00 Mortgage Interest
Broker Fees £500.00 £500.00 Mortgage Interest Rate 4.09%
Insurance (6 months) £0.00 £0.00 Mortgage Interest (pcm) £681.67
Any Other Fees £0.00 £0.00 Mortgage Interest (pa) £8,180.00
Total Acquisition Costs £2,600.00 £2,600.00
Property Monthly Cashflow £282.23
Deposit Property Annual Cashflow £3,386.80
Your Contribution (%) 25%
Your Contribution (£) £36,250.00 £36,250.00 RETURN ON INVESTMENT

Cost of Money: Property Annual Cashflow £3,386.80


LTV 75% Cash In Deal £11,843.75
Amount Borrowed £108,750.00
Interest Rate 9% Return on Investment (CID) 29%
Interest Per Month £815.63 No. years to recoup cash in deal: 3.5
Term (Months) 6
Interest for Term £4,893.75 Equity Created
In/Out Fees Rate 4% Realistic Selling Price £250,000.00
In / Out Fees £4,350.00 Refinance Amount Borrowed £200,000.00
Total Cost of Money £9,243.75 £9,243.75 Equity Created £50,000.00

TOTAL INVESTMENT £211,843.75


STRATEGY 2 - FLATS FLIP
TOTAL CASH REQUIRED FOR ACQUISITION £103,093.75 Realistic Selling Price £250,000.00
Flip Refurb Costs
Estimated Value on Completion (Refinance) Total Investment incl Refurb £211,843.75
Realistic Selling Price £250,000.00 Agent Fees to Sell (%) 1.50%
Refinance LTV Rate: 80% Agent Fees to Sell £3,750.00
Maximum Refinance: £200,000.00 Legal Fees to Sell £900.00
Strategy 2 Profit £33,506.25
CASH IN DEAL £11,843.75 Left In Deal
Return on Investment (Flip) 33%
Property Address: <insert property address>

Purchase Price £145,000.00 (Your Cash) STRATEGY 1 - LHA HOLD AND RENT
Gross Monthly Property Rent £960.00
Works Budget £15,000.00 £15,000.00
Professional Fees Monthly MOE Rate 10%
<Insert detail> £ - Monthly MOE (..) £96.00
<Insert detail> £ - Monthly Management Fee Rate 9%
<Insert detail> £ - Monthly Management Fee (..) £86.40
Total Professional Fees £ - £ - Total Monthly Fees £182.40

Acquisition Costs Net Monthly Property Rent £777.60


Stamp Duty £400.00 £400.00 Net Annual Property Rent £9,331.20
Valuation £500.00 £500.00
Legal Fees £1,200.00 £1,200.00 Mortgage Interest
Broker Fees £500.00 £500.00 Mortgage Interest Rate 4.69%
Insurance (6 months) £0.00 £0.00 Mortgage Interest (pcm) £586.25
Any Other Fees £0.00 £0.00 Mortgage Interest (pa) £7,035.00
Total Acquisition Costs £2,600.00 £2,600.00
Property Monthly Cashflow £191.35
Deposit Property Annual Cashflow £2,296.20
Your Contribution (%) 25%
Your Contribution (£) £36,250.00 £36,250.00 RETURN ON INVESTMENT

Cost of Money: Property Annual Cashflow £2,296.20


LTV 75% Cash In Deal £21,843.75
Amount Borrowed £108,750.00
Interest Rate 9% Return on Investment (CID) 11%
Interest Per Month £815.63 No. years to recoup cash in deal: 9.5
Term (Months) 6
Interest for Term £4,893.75 Equity Created
In/Out Fees Rate 4% Realistic Selling Price £200,000.00
In / Out Fees £4,350.00 Refinance Amount Borrowed £150,000.00
Total Cost of Money £9,243.75 £9,243.75 Equity Created £50,000.00

TOTAL INVESTMENT £171,843.75


STRATEGY 2 - FLATS FLIP
TOTAL CASH REQUIRED FOR ACQUISITION £63,093.75 Realistic Selling Price £200,000.00
Flip Refurb Costs £16,000.00
Estimated Value on Completion (Refinance) Total Investment incl Refurb £172,843.75
Realistic Selling Price £200,000.00 Agent Fees to Sell (%) 1.50%
Refinance LTV Rate: 75% Agent Fees to Sell £3,000.00
Maximum Refinance: £150,000.00 Legal Fees to Sell £900.00
Strategy 2 Profit £23,256.25
CASH IN DEAL £21,843.75 Left In Deal
Return on Investment (Flip) 37%

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