Rented normally, it costs you £1,960 a month. That is £23,516 a year, every year you hold it.

Will it pay?Calculator

The mortgage alone costs more than the whole rent — you top up £1,960 a month

It is £1,960 a month short. Borrowing £361,783 less would close that shortfall — which is £361,783 more cash at the start, on top of the deposit.

+£1,964−£2,417−£1,506−£1,960

Rent inMortgageRunning costsShort by

The rent covers £1,964 of that — you cover £1,960

◧ market rent £1,964 · 26 comps2 empty weeks a year assumed

What if I change my assumptions?The dials

At the asking price, 25% deposit, 6.50% charged

Change any of these 16 and every card on this page changes with it. The 6.50% is the 5.75% quoted plus a company premium.

◧ worked out from local rents

What will it cost me to buy?Breakdown

£211,525 + refurb costs

And about £117,580 more over five years, because it loses £1,960 every month you hold it — before any repair. That already assumes the rent never falls.

£211,525 to buy it

deposit · stamp duty · solicitor · fees~£25,059, unseen

□ works not inspected

What would have to be true?The search

No offer makes this pay

Even at £357,000 — well below the £595,000 asked — the rent still does not cover the costs. The gap is the rent against the running costs, not the price, so negotiating does not close it.

◧ worked back from the rent■ stamp duty re-bandedtested down to £357,000

Can we trust the rent?Rent evidence

Nearby lettings back this rent

We hold too few nearby asking rents to cross-check this figure, so nothing here confirms it a second way.

+16 more

our bar: 10 within 500 m

our own middle half£1,902–£2,028/mo

■ 26 lettings within 1 km□ no nearby asks to cross-checkAdvertised rents, not signed tenancies

What will the rent borrow?Lender test

The rent carries £208,382 of the £446,250 loan

That £237,868 is yours to find on top of the deposit. Tested at 125% instead of 145% — a company or a basic-rate taxpayer usually is — the gap is £204,527. Lenders test the rent at 7.5% and need it to cover 145% of the payment.

£4,044 needed

more than the £1,888 rent

stressed at 7.5%, 145% cover

◧ rent after empty weeks £1,888PRA-style test

Who has to say yes?Council record

Liverpool council approves 60% — 54% on a cautious reading

A council-wide rate across 237 HMO decisions, not a forecast for this address.

60%

0%50%100%

never approvesalways approves

the band is the cautious reading of the same 237 decisions — as low as 54%

■ Article 4 — planning permission requireddecision record held for this authority

How big is it, really?The working

One figure, and nothing checking it 1,851 sq ft

Only the agent’s figure exists for this house. Open for what that means.

□ area unchecked — agent’s own

Is it a good location?Open the map

Liverpool, L3

No schools in this postcode area and flood risk checking… — open for the map, the schools and the rest.

Article 4Planning permission required to let by the room

■ postcode area, not this address

What could kill thisThe checks

£10,950 a year in charges for the building, owed even when nobody is living there

The contract the property is sold under sets these charges, and they can go up over the years.

4 problems found · 2 came back clear · 3 we could not check

■ from the listinglisting last seen 19 Sep 2026

Which strategy wins?The ways to run it

Every way loses money — Short-stay let loses least, at £1,852 a month

Short-stay let also ties up the least cash, £236,584.

Short-stay let−£1,852 · £236,584 in

7 nearby short-lets within 5.5 km · medium confidence

Standard rental−£1,960 · £236,584 in

Rent by the room−£2,493 · £262,584 in

Housing-benefit rent−£3,059 · £236,584 in

Each row: money kept a month, then the cash it ties up. Not compared: Do it up, then remortgage (pays back at the remortgage) · Guaranteed council rent (no scheme in this borough) · Buy, improve & sell (pays out on sale)

◧ 4 ways, one measureranked on money kept each month, at the asking price

What would you walk away with, after 5 years?The five-year sums

−£152,165 after five years on the cash you put in, before tax on the sale

Less than the same cash would have made in a savings account, after tax on the interest. The savings account’s capital is not at risk; the property’s is. A fall of about 25% in the price would leave nothing from a sale after selling costs, and you would still owe the lender any shortfall. That is the £236,584 you put in. The 5-year fix runs past this 5-year hold, so the rate reset comes after it.

−£236,584+£674,912−£16,873−£446,250−£127,370−£152,165

Cash you put inSale valueSelling costsMortgageRent lossesYou are down

◧ 2.0%/yr growth assumed