Rented normally, it costs you £1,003 a month. That is £12,041 a year, every year you hold it.

Will it pay?Calculator

You top up £1,003 a month — the mortgage takes 89p of every pound of rent

Borrowing £185,239 less would close that shortfall — which is £185,239 more cash at the start, on top of the deposit.

+£3,405−£3,047−£1,362−£1,003

Rent inMortgageRunning costsShort by

The rent covers £3,405 of that — you cover £1,003

◧ market rent £3,405 · 127 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

£268,100 + refurb costs

And about £60,203 more over five years, because it loses £1,003 every month you hold it — before any repair. That already assumes the rent never falls.

£268,100 to buy it

deposit · stamp duty · solicitor · fees~£19,120, unseen

□ works not inspected

What would have to be true?The working

£245,000 off and it stops losing money

At the asking price you feed it £1,003 a month. At £502,954 the rent covers everything — leaving stamp duty of £40,295 at that price.

offer £502,954

asked £750,000

◧ worked back from the rent■ stamp duty re-bandedrounded down to £5,000 — the rent it works back from is an estimate

Is the price right?Comparables

We can't tell — nothing nearby is alike enough

The dearest sold for 4.7× the cheapest, so the rent has to justify this price on its own.

you'd pay £750,000

£195,500

£218,500

£270,000

£285,101

£310,000

£370,000

£440,000

£560,000

£710,000

£729,000

£730,000

£926,000

£195.5k£560.8k£926k

£195,500 cheapest£926,000 dearest

12 completed sales, same property type, last 3 years

□ 12 sold nearby, not matched on sizeHM Land Registry Price Paid Data

What will the rent borrow?Lender test

The rent carries £361,273 of the £562,500 loan

That £201,227 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 £143,423. Lenders test the rent at 7.5% and need it to cover 145% of the payment.

£5,098 needed

more than the £3,274 rent

stressed at 7.5%, 145% cover

◧ rent after empty weeks £3,274PRA-style test

How big is it, really?The plan

One figure, and nothing checking it 823 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, W6 0BZ

2 of 5 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 · 4 came back clear · 1 we could not check · 2 do not apply to this property

■ from council licensing registerlisting last seen 18 Sep 2026

Which strategy wins?The ways to run it

Every way loses money — Standard rental loses least, at £1,003 a month

Let it to the council: £14,376 a year less, but they keep paying when it is empty.

Standard rental−£1,003 · £287,220 in

Guaranteed council rent−£2,201 · £287,220 in

Housing-benefit rent−£2,536 · £287,220 in

Short-stay let−£3,072 · £287,220 in

298 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 2 bedrooms) · 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

−£94,198 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 24% in the price would leave nothing from a sale after selling costs, and you would still owe the lender any shortfall. That is the £287,220 you put in. The 5-year fix runs past this 5-year hold, so the rate reset comes after it.

−£287,220+£841,782−£21,045−£562,500−£65,215−£94,198

Cash you put inSale valueSelling costsMortgageRent lossesYou are down

◧ 2.0%/yr growth assumed