Rented normally, it costs you £116 a month. That is £1,397 a year, every year you hold it.

Will it pay?Calculator

You top up £116 a month — the mortgage takes 75p of every pound of rent

Borrowing £21,493 less would close that shortfall — which is £21,493 more cash at the start, on top of the deposit.

+£1,908−£1,422−£603−£116

Rent inMortgageRunning costsShort by

The rent covers £1,908 of that — you cover £116

◧ market rent £1,908 · 6 comps2 empty weeks a year assumed

What if I change my assumptions?The dials

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

Try your own numbersLive

You keep-£116/mo

All-in cash£142,060

PaybackNever

Offer−+

Deposit−+

Mortgage rate−+

Rent−+

Worked at 6.50% — 5.75% quoted plus a company premium.

◧ worked out from local rents

What will it cost me to buy?Breakdown

£120,900 + refurb costs

And about £6,985 more over five years, because it loses £116 every month you hold it — before any repair. That already assumes the rent never falls.

£120,900 to buy it

deposit · stamp duty · solicitor · fees~£21,160, unseen

□ works not inspected

What would have to be true?The working

£25,000 off and it stops losing money

At the asking price you feed it £116 a month. At £321,323 the rent covers everything — leaving stamp duty of £22,132 at that price.

offer £321,323

asked £350,000

◧ 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?The deeds

Last sold for £224,000 in 2015

Nothing nearby is comparable, but asking is 56% more than the £224,000 paid for it in 2015.

□ this address’s own deeds, no comparable saleHM Land Registry Price Paid Data

What will the rent borrow?Lender test

The rent carries £202,440 of the £262,500 loan

That £60,060 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 £27,669. Lenders test the rent at 7.5% and need it to cover 145% of the payment.

£2,379 needed

more than the £1,835 rent

stressed at 7.5%, 145% cover

◧ rent after empty weeks £1,835PRA-style test

How big is it, really?The plan

The plan and the advert, side by side 1,453 sq ft

Two figures for this house, and neither is a survey. Open for both.

AdvertFloorplan

1.4k sq ft1.5k sq ft1.6k sq ft

1,432 sq ft1,558 sq ft

neither is a survey — a tape measure settles it

□ area off the floorplan — not a survey

Is it a good location?Open the map

No school rated Good or better in this postcode area

3 schools in this postcode area, none rated Good or better 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 to know before you offerThe checks

Every tenancy here is periodic, with no Section 21 to end it

Tenancies are now periodic, with no Section 21 — budget a longer void.

1 problem found · 2 came back clear · 5 we could not check · 1 does not apply to this property

■ from the Renters’ Rights Act 2025listing last seen 23 Sep 2026

Which strategy wins?The ways to run it

Rent by the room beats Standard rental by £157 a month

Rent by the room needs £35,320 more cash than the others.

Rent by the room+£41 · £177,380 in

Standard rental−£116 · £142,060 in

Housing-benefit rent−£718 · £142,060 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) · Short-stay let (no local short-let data) · Guaranteed council rent (no scheme in this borough) · Buy, improve & sell (pays out on sale)

◧ 3 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

−£20,553 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 26% in the price would leave nothing from a sale after selling costs, and you would still owe the lender any shortfall. That is the £142,060 you put in. The 5-year fix runs past this 5-year hold, so the rate reset comes after it.

−£142,060+£401,614−£10,040−£262,500−£7,567−£20,553

Cash you put inSale valueSelling costsMortgageRent lossesYou are down

◧ 2.0%/yr growth assumed

Could you let it by the room?Room by room

+£517 a month at 5 rooms on the room-add model, before tax, once converted

The floorplan supports 5 lettable rooms, and £18,480 of work gets you there.

◧ room-add model · medium confidence■ 80 room adverts in HG1Dwelfy’s room-add model, before tax