Stephenson Road, High Heaton, Newcastle Upon Tyne
Terraced · 4 bed
Supports major UK property portals
Suggested Offer Range
Already 20.4% below the comparable sales mean — limited negotiation margin. Strong value at current asking price. Note: listed as "Offers Over" — vendor expects full asking price or above.
Property Details
- Asking Price
- £205,000
- Property Type
- Terraced
- Bedrooms
- 4
- Bathrooms
- N/A
- Floor Area
- 1023 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: 122 days on market
Matched signals:
💸 Mortgage & Financing
| Recommended LTV | 75.0% |
| Indicative Rate | 4.99% |
| Monthly IO Payment | £639 |
| ICR (actual) | 2.86x |
| Feasibility | PASS |
| 💲 Total Cash Required | |
| Purchase Price | £205,000 |
| Deposit (25% — 75% LTV) | £51,250 |
| SDLT (additional property, 5% surcharge) | £11,850 |
| Legal fees (est.) | £1,500 |
| Survey (est.) | £500 |
| Arrangement fee (est.) | £999 |
| Total cash required | £66,099 |
Legal and survey fees are estimates. SDLT applies 5% additional-property surcharge (Oct 2024 Budget). Not financial advice.
🔄 BRR Refinance Stress Test
| Purchase price | £205,000 | Loan (75% LTV) | £153,750 |
| Rate (IO) | 5.5% p.a. | Monthly interest | £705 |
| Rent needed (1.5×) | £1,057/mo | Estimated rent | £1,827/mo |
| Stress ratio | 2.59× (need ≥ 1.5×) +£770 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 | £1,504 |
| SA net/mo | £1,174 |
| BTL est./mo | £1,826 |
| SA vs BTL uplift | £-322/mo |
| Hold Period | Est. Sale Price | Capital Gain | Net Proceeds | Total Return |
|---|---|---|---|---|
| 3 years | £220,763 | +£15,763 | £59,138 | +£7,888 (3.8%) |
| 5 years | £231,939 | +£26,939 | £67,464 | +£16,214 (7.9%) |
| 7 years | £243,681 | +£38,681 | £76,212 | +£24,962 (12.2%) |
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 | £21,914 | £211,150 | £15,333 | £7,646 | £13,796 | 20.5% |
| Yr 3 | £23,024 | £224,009 | £16,132 | £24,131 | £43,140 | 64.2% |
| Yr 5 | £24,190 | £237,651 | £16,971 | £42,274 | £74,925 | 111.5% |
| Yr 10 | £27,368 | £275,503 | £19,260 | £95,447 | £165,950 | 246.9% |
| Yr 15 | £30,965 | £319,383 | £21,850 | £160,950 | £275,334 | 409.7% |
| Yr 20 | £35,034 | £370,253 | £24,779 | £240,405 | £405,658 | 603.7% |
| Yr 25 | £39,637 | £429,224 | £28,094 | £335,644 | £559,868 | 833.1% |
| Yr 30 | £44,846 | £497,589 | £31,844 | £448,741 | £741,330 | 1103.2% |
ROI on Total Cash Invested (deposit + SDLT + acquisition costs). Assumes IO mortgage, no tax, no refinancing. Actual returns will vary.
🌎 Area Profile — NE7 7 ⓘ What are deciles?
📊 Investment Skill Analysis
Scenario Analysis
| Scenario | Monthly Rent | Gross Yield | Net Yield | Cashflow/mo | IRR 5yr |
|---|---|---|---|---|---|
| Bear | £1,553 | 9.1% | 5.7% | £140 | 0.3% |
| Conservative | £1,699 | 9.9% | 6.7% | £448 | 9.5% |
| Base | £1,827 | 10.7% | 7.5% | £638 | 13.6% |
| Optimistic | £1,973 | 11.6% | 8.3% | £846 | 18.3% |
| Bull | £2,156 | 12.6% | 9.4% | £1,089 | 24.3% |
⚠ Condition Flags
Detailed Analysis
💸 Yield & Returns
| Gross Yield | ●10.69% |
| Net Yield | ●7.48% |
| Net Annual Income | £15,340 |
| Deductions: void 8% (−£1,753) · mgmt 10% (−£2,191) · maint 10% (−£2,191) · fixed costs ins.+gas+EPC (−£445) | |
| Monthly IO Mortgage | £639 |
| Monthly Cashflow (IO) | ●£639 |
| Cash-on-Cash Return | ●11.39% |
| 5-Year IRR | ●13.6% |
● Above benchmark ● Near benchmark ● Below benchmark
💰 Tax Analysis
| SDLT (Additional Property) | £11,850 |
| SDLT Effective Rate | 5.78% |
| SDLT (Company) | £11,850 |
| Section 24 Extra Tax/yr (higher rate) | £1,538 |
| SPV Annual Saving | £3,565 |
| SPV Breakeven | — yrs |
| CGT Projected Sale (5yr) | £237,651 |
| Less: Purchase Price | −£205,000 |
| Less: Buying Costs (SDLT + legal) | −£14,450 |
| Less: Selling Costs (est. 2.5%) | −£5,941 |
| = CGT Net Gain (5yr) | £12,260 |
| CGT at 24% | £2,222 |
📈 Scenario Analysis
| Scenario | Monthly Rent | Gross Yield | Net Yield | Cashflow/mo | IRR 5yr |
|---|---|---|---|---|---|
| Bear | £1,553 | 9.1% | 5.7% | £140 | 0.3% |
| Conservative | £1,699 | 9.9% | 6.7% | £448 | 9.5% |
| Base | £1,827 | 10.7% | 7.5% | £638 | 13.6% |
| Optimistic | £1,973 | 11.6% | 8.3% | £846 | 18.3% |
| Bull | £2,156 | 12.6% | 9.4% | £1,089 | 24.3% |