MEADOW ROAD, LONDON SW8
- Purchased August 2015; refurbishment completed mid September 2015; tenancy commenced 10th October 2015
- 3/4 bed, 1-bath ex-local authority freehold house 10 minutes’ walk from Vauxhall Station (Zone 1), and 10 minutes' walk from the site of the new Nine Elms underground station (due to open 2020)
- Sourced via local agent
- Strategy: Convert to 5-bed, 2-bath for rental to professional sharers on one AST
- Purchase price: £580,000 (asking price £595,000)
- Refurbishment costs: £45,000
- Estimated capital value post refurbishment: £695,000
- Rental value achieved: £755 pw
- Gross yield at purchase: 5%
- Current gross yield 6.3% (projected gross yield in 5 years 8.1%)
- Approx 11% capital uplift / approx 37% uplift at 75% LTV
Before

Before

After
.jpg)
After
.jpg)
CEDARS ROAD, LONDON SW4
- Purchased July 2005; refurbishment completed end August 2005; tenancy commenced September 2005
- 3 bed, 1-bath ex-local authority leasehold flat 10 minutes’ walk from Clapham Common tube station
- Sourced via local agent
- Strategy: Convert to 4-bed, 1-bath for rental to professional sharers on one AST
- Purchase price: £220,000
- Refurbishment costs: £29,500
- Estimated capital value today: £500,000
- Rental value achieved in 2005: £350 pw
- Rental value achieved 2015: £550 pw
- Gross yield at purchase: 7.3%
- Current gross yield 6.4%
- Gross average total unleveraged return 12.6% per annum
- Gross average total leveraged return (75% LTV) 40.7% per annum
- Approximate doubling of capital value over 9 years
Before

Before

After
.jpg)
After
.jpg)