Ouseburn Wharf, Newcastle Upon Tyne, NE6
Apartment · 2 bed
Supports major UK property portals
Suggested Offer Range
Already 26.9% below the comparable sales mean — limited negotiation margin. Strong value at current asking price.
Property Details
- Asking Price
- £135,000
- Property Type
- Apartment
- Bedrooms
- 2
- Bathrooms
- N/A
- Occupancy
- 🔒 Currently Tenanted
- Floor Area
- 646 sqft
- Article 4 Area
- ✓ No restriction — SA permitted under PD rights
This listing is priced below the postcode sector benchmark.
Motivated Seller Analysis
Standard — 3/10Behavioural signals: Below market valueTenanted investment
💸 Mortgage & Financing
| Recommended LTV | 75.0% |
| Indicative Rate | 4.99% |
| Monthly IO Payment | £421 |
| ICR (actual) | 2.36x |
| Feasibility | PASS |
| 💲 Total Cash Required | |
| Purchase Price | £135,000 |
| Deposit (25% — 75% LTV) | £33,750 |
| SDLT (additional property, 5% surcharge) | £6,950 |
| Legal fees (est.) | £1,500 |
| Survey (est.) | £500 |
| Arrangement fee (est.) | £999 |
| Total cash required | £43,699 |
Legal and survey fees are estimates. SDLT applies 5% additional-property surcharge (Oct 2024 Budget). Not financial advice.
🔄 BRR Refinance Stress Test
| Purchase price | £135,000 | Loan (75% LTV) | £101,250 |
| Rate (IO) | 5.5% p.a. | Monthly interest | £464 |
| Rent needed (1.5×) | £696/mo | Estimated rent | £992/mo |
| Stress ratio | 2.14× (need ≥ 1.5×) +£296 surplus | ||
Assumptions: 75% LTV · 5.5% interest only · 1.5× rent coverage (standard lender requirement). Actual lender criteria vary — verify with your broker.
Exit Strategy
Capital appreciation projections at 2.5% pa (local Land Registry HPI). Assumes 75% LTV interest-only mortgage redeemed on sale. Excludes rental income.
| Est. reno cost | Unknown — score listing |
| Cash left in deal | Unknown |
| SA gross/mo | £1,284 |
| SA net/mo | £980 |
| BTL est./mo | £992 |
| SA vs BTL uplift | +£292/mo |
| Hold Period | Est. Sale Price | Capital Gain | Net Proceeds | Total Return |
|---|---|---|---|---|
| 3 years | £145,380 | +£10,380 | £38,678 | +£4,928 (3.7%) |
| 5 years | £152,740 | +£17,740 | £44,161 | +£10,411 (7.7%) |
| 7 years | £160,473 | +£25,473 | £49,922 | +£16,172 (12.0%) |
Projections: 2.5% pa HPI, 75% LTV IO mortgage redeemed at sale, 1.5% EA, £1,500 legal, 24% CGT above £3k allowance. Not financial advice.
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📈 Rental Yield & ROI Forecast
Compound-growth projection: 2.5% annual rent growth + 3% capital growth. IO mortgage throughout. For illustration only.
| Year | Est. Rent/yr | Est. Value | Net Income/yr | Cum. Cashflow | Total Return | ROI on Cash Invested |
|---|---|---|---|---|---|---|
| Yr 1 | £11,907 | £139,050 | £8,128 | £3,066 | £7,116 | 15.9% |
| Yr 3 | £12,510 | £147,518 | £8,562 | £9,845 | £22,363 | 49.9% |
| Yr 5 | £13,143 | £156,502 | £9,018 | £17,525 | £39,027 | 87.1% |
| Yr 10 | £14,870 | £181,429 | £10,262 | £40,972 | £87,401 | 195.1% |
| Yr 15 | £16,824 | £210,326 | £11,668 | £71,119 | £146,444 | 326.9% |
| Yr 20 | £19,035 | £243,825 | £13,260 | £108,845 | £217,670 | 485.9% |
| Yr 25 | £21,536 | £282,660 | £15,061 | £155,148 | £302,808 | 675.9% |
| Yr 30 | £24,367 | £327,680 | £17,099 | £211,155 | £403,835 | 901.4% |
ROI on Total Cash Invested (deposit + SDLT + acquisition costs). Assumes IO mortgage, no tax, no refinancing. Actual returns will vary.
🌎 Area Profile — NE6 5 ⓘ What are deciles?
📊 Investment Skill Analysis
Scenario Analysis
| Scenario | Monthly Rent | Gross Yield | Net Yield | Cashflow/mo | IRR 5yr |
|---|---|---|---|---|---|
| Bear | £843 | 7.5% | 4.5% | £-37 | -5.3% |
| Conservative | £923 | 8.2% | 5.4% | £145 | 4.7% |
| Base | £992 | 8.8% | 6.0% | £255 | 9.1% |
| Optimistic | £1,071 | 9.5% | 6.7% | £376 | 14.0% |
| Bull | £1,171 | 10.4% | 7.6% | £515 | 20.4% |
Detailed Analysis
💸 Yield & Returns
| Gross Yield | ●8.82% |
| Net Yield | ●6.02% |
| Net Annual Income | £8,126 |
| Deductions: void 8% (−£953) · mgmt 10% (−£1,191) · maint 10% (−£1,191) · fixed costs ins.+gas+EPC (−£445) | |
| Monthly IO Mortgage | £421 |
| Monthly Cashflow (IO) | ●£256 |
| Cash-on-Cash Return | ●6.84% |
| 5-Year IRR | ●9.1% |
● Above benchmark ● Near benchmark ● Below benchmark
💰 Tax Analysis
| SDLT (Additional Property) | £6,950 |
| SDLT Effective Rate | 5.15% |
| SDLT (Company) | £6,950 |
| Section 24 Extra Tax/yr (higher rate) | £1,013 |
| SPV Annual Saving | £2,031 |
| SPV Breakeven | — yrs |
| CGT Projected Sale (5yr) | £156,502 |
| Less: Purchase Price | −£135,000 |
| Less: Buying Costs (SDLT + legal) | −£9,550 |
| Less: Selling Costs (est. 2.5%) | −£3,913 |
| = CGT Net Gain (5yr) | £8,039 |
| CGT at 24% | £1,209 |
📈 Scenario Analysis
| Scenario | Monthly Rent | Gross Yield | Net Yield | Cashflow/mo | IRR 5yr |
|---|---|---|---|---|---|
| Bear | £843 | 7.5% | 4.5% | £-37 | -5.3% |
| Conservative | £923 | 8.2% | 5.4% | £145 | 4.7% |
| Base | £992 | 8.8% | 6.0% | £255 | 9.1% |
| Optimistic | £1,071 | 9.5% | 6.7% | £376 | 14.0% |
| Bull | £1,171 | 10.4% | 7.6% | £515 | 20.4% |