Dover Road, Portsmouth, PO3
Terraced · 3 bed
Supports major UK property portals
Suggested Offer Range
Already 20.7% below the comparable sales mean — limited negotiation margin. Strong value at current asking price.
Property Details
- Asking Price
- £220,000
- Property Type
- Terraced
- Bedrooms
- 3
- Bathrooms
- N/A
- Floor Area
- 926 sqft
- Article 4 Area
- ✓ No restriction — SA permitted under PD rights
This listing is priced below the postcode sector benchmark.
Motivated Seller Analysis
Standard — 2/10Behavioural signals: Below market value
💸 Mortgage & Financing
| Recommended LTV | 75.0% |
| Indicative Rate | 4.99% |
| Monthly IO Payment | £686 |
| ICR (actual) | 1.95x |
| Feasibility | MARGINAL |
| Notes: Rental coverage 139% — below standard 145% threshold, may need larger deposit | |
| 💲 Total Cash Required | |
| Purchase Price | £220,000 |
| Deposit (25% — 75% LTV) | £55,000 |
| SDLT (additional property, 5% surcharge) | £12,900 |
| Legal fees (est.) | £1,500 |
| Survey (est.) | £500 |
| Arrangement fee (est.) | £999 |
| Total cash required | £70,899 |
Legal and survey fees are estimates. SDLT applies 5% additional-property surcharge (Oct 2024 Budget). Not financial advice.
🔄 BRR Refinance Stress Test
| Purchase price | £220,000 | Loan (75% LTV) | £165,000 |
| Rate (IO) | 5.5% p.a. | Monthly interest | £756 |
| Rent needed (1.5×) | £1,134/mo | Estimated rent | £1,338/mo |
| Stress ratio | 1.77× (need ≥ 1.5×) +£204 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 | £1,570 |
| SA net/mo | £1,232 |
| BTL est./mo | £1,338 |
| SA vs BTL uplift | +£232/mo |
| Hold Period | Est. Sale Price | Capital Gain | Net Proceeds | Total Return |
|---|---|---|---|---|
| 3 years | £236,916 | +£16,916 | £63,522 | +£8,522 (3.9%) |
| 5 years | £248,910 | +£28,910 | £72,458 | +£17,458 (7.9%) |
| 7 years | £261,511 | +£41,511 | £81,846 | +£26,846 (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 | £16,060 | £226,600 | £11,118 | £2,868 | £9,468 | 13.2% |
| Yr 3 | £16,873 | £240,400 | £11,704 | £9,479 | £29,879 | 41.5% |
| Yr 5 | £17,727 | £255,040 | £12,319 | £17,305 | £52,345 | 72.7% |
| Yr 10 | £20,057 | £295,662 | £13,996 | £42,597 | £118,259 | 164.2% |
| Yr 15 | £22,692 | £342,753 | £15,893 | £76,925 | £199,678 | 277.3% |
| Yr 20 | £25,674 | £397,344 | £18,041 | £121,478 | £298,822 | 415.0% |
| Yr 25 | £29,048 | £460,631 | £20,470 | £177,598 | £418,229 | 580.9% |
| Yr 30 | £32,865 | £533,998 | £23,218 | £246,806 | £560,803 | 778.9% |
ROI on Total Cash Invested (deposit + SDLT + acquisition costs). Assumes IO mortgage, no tax, no refinancing. Actual returns will vary.
🌎 Area Profile — PO3 5 ⓘ What are deciles?
📊 Investment Skill Analysis
Scenario Analysis
| Scenario | Monthly Rent | Gross Yield | Net Yield | Cashflow/mo | IRR 5yr |
|---|---|---|---|---|---|
| Bear | £1,137 | 6.2% | 3.8% | £-192 | -8.6% |
| Conservative | £1,244 | 6.8% | 4.5% | £78 | 1.9% |
| Base | £1,338 | 7.3% | 5.1% | £239 | 6.5% |
| Optimistic | £1,445 | 7.9% | 5.6% | £413 | 11.7% |
| Bull | £1,579 | 8.6% | 6.3% | £613 | 18.3% |
Detailed Analysis
💸 Yield & Returns
| Gross Yield | ●7.3% |
| Net Yield | ●5.05% |
| Net Annual Income | £11,115 |
| Deductions: void 8% (−£1,285) · mgmt 10% (−£1,606) · maint 10% (−£1,606) · fixed costs ins.+gas+EPC (−£445) | |
| Monthly IO Mortgage | £686 |
| Monthly Cashflow (IO) | ●£240 |
| Cash-on-Cash Return | ●3.98% |
| 5-Year IRR | ●6.5% |
● Above benchmark ● Near benchmark ● Below benchmark
💰 Tax Analysis
| SDLT (Additional Property) | £12,900 |
| SDLT Effective Rate | 5.86% |
| SDLT (Company) | £12,900 |
| Section 24 Extra Tax/yr (higher rate) | £1,650 |
| SPV Annual Saving | £2,772 |
| SPV Breakeven | — yrs |
| CGT Projected Sale (5yr) | £255,040 |
| Less: Purchase Price | −£220,000 |
| Less: Buying Costs (SDLT + legal) | −£15,500 |
| Less: Selling Costs (est. 2.5%) | −£6,376 |
| = CGT Net Gain (5yr) | £13,164 |
| CGT at 24% | £2,439 |
📈 Scenario Analysis
| Scenario | Monthly Rent | Gross Yield | Net Yield | Cashflow/mo | IRR 5yr |
|---|---|---|---|---|---|
| Bear | £1,137 | 6.2% | 3.8% | £-192 | -8.6% |
| Conservative | £1,244 | 6.8% | 4.5% | £78 | 1.9% |
| Base | £1,338 | 7.3% | 5.1% | £239 | 6.5% |
| Optimistic | £1,445 | 7.9% | 5.6% | £413 | 11.7% |
| Bull | £1,579 | 8.6% | 6.3% | £613 | 18.3% |