Rented normally, it costs you £1,020 a month. That is £12,239 a year, every year you hold it.

Will it pay?Calculator

The mortgage alone costs more than the whole rent — you top up £1,020 a month

It is £1,020 a month short. Borrowing £188,294 less would close that shortfall — which is £188,294 more cash at the start, on top of the deposit.

+£1,525−£1,848−£696−£1,020

Rent inMortgageRunning costsShort by

The rent covers £1,525 of that — you cover £1,020

□ service charge not published2 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

£159,600 + refurb costs

And about £61,195 more over five years, because it loses £1,020 every month you hold it — before any repair. That already assumes the rent never falls.

£159,600 to buy it

deposit · stamp duty · solicitor · fees~£13,711, unseen

□ works not inspected

What would have to be true?The search

No offer makes this pay

Even at £273,000 — well below the £455,000 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 £273,000

Can we trust the rent?Rent evidence

Nearby lettings, but only by searching 1.5 km

We widened the search to find them, so these are not next-door comparisons.

+55 more

our bar: 10 within 500 m

our own middle half£1,280–£1,817/mo

■ 65 lettings within 1.5 km□ searched wider than our barAdvertised rents, not signed tenancies

What will the rent borrow?Lender test

The rent carries £161,804 of the £341,250 loan

That £179,446 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 £153,558. Lenders test the rent at 7.5% and need it to cover 145% of the payment.

£3,093 needed

more than the £1,466 rent

stressed at 7.5%, 145% cover

◧ rent after empty weeks £1,466PRA-style test

How big is it, really?The plan

One figure, and nothing checking it 543 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

London, N17 7AB

2 of 2 schools in this postcode area rated Good or Outstanding and flood risk checking… — open for the map, the schools and the rest.

Article 4Not assessed for this address

■ postcode area, not this address

What could kill thisThe checks

You would need a licence from the council first

Letting without the council’s licence is an offence, and the fee is in no figure here.

2 problems found · 3 came back clear · 2 we could not check · 2 do not apply to this property

■ from council licensing registerlisting last seen 19 Sep 2026

Which strategy wins?The ways to run it

Every way loses money — Standard rental loses least, at £1,020 a month

Let it to the council: £1,632 a year less, but they keep paying when it is empty.

Standard rental−£1,020 · £173,311 in

Guaranteed council rent−£1,156 · £173,311 in

Housing-benefit rent−£1,400 · £173,311 in

Short-stay let−£1,658 · £173,311 in

40 nearby short-lets within 5.5 km · low confidence

Each row: money kept a month, then the cash it ties up. Not compared: Rent by the room (only 1 bedroom) · Do it up, then remortgage (pays back at the remortgage) · 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

−£81,460 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 £173,311 you put in. The 5-year fix runs past this 5-year hold, so the rate reset comes after it.

−£173,311+£512,196−£12,805−£341,250−£66,291−£81,460

Cash you put inSale valueSelling costsMortgageRent lossesYou are down

◧ 2.0%/yr growth assumed