Tennyson Road, Freshwater, Isle of Wight
Terraced · 3 bed
Supports major UK property portals
Suggested Offer Range
Already 32.5% below the comparable sales mean — limited negotiation margin. Strong value at current asking price.
Property Details
- Asking Price
- £169,950
- Property Type
- Terraced
- Bedrooms
- 3
- Bathrooms
- N/A
- Est. Floor Area
- 910 sqft (est.)
- Article 4 Area
- ✓ No restriction — SA permitted under PD rights
This listing is priced below the postcode sector benchmark.
Motivated Seller Analysis
Watch — 4/10Behavioural signals: 97 days on marketBelow market value
💸 Mortgage & Financing
| Recommended LTV | 75.0% |
| Indicative Rate | 4.99% |
| Monthly IO Payment | £530 |
| ICR (actual) | 2.01x |
| Feasibility | MARGINAL |
| Notes: Rental coverage 143% — below standard 145% threshold, may need larger deposit | |
| 💲 Total Cash Required | |
| Purchase Price | £169,950 |
| Deposit (25% — 75% LTV) | £42,487 |
| SDLT (additional property, 5% surcharge) | £9,396 |
| Legal fees (est.) | £1,500 |
| Survey (est.) | £500 |
| Arrangement fee (est.) | £999 |
| Total cash required | £54,882 |
Legal and survey fees are estimates. SDLT applies 5% additional-property surcharge (Oct 2024 Budget). Not financial advice.
🔄 BRR Refinance Stress Test
| Purchase price | £169,950 | Loan (75% LTV) | £127,462 |
| Rate (IO) | 5.5% p.a. | Monthly interest | £584 |
| Rent needed (1.5×) | £876/mo | Estimated rent | £1,063/mo |
| Stress ratio | 1.82× (need ≥ 1.5×) +£187 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 | £1,064 |
| SA vs BTL uplift | +£506/mo |
| Hold Period | Est. Sale Price | Capital Gain | Net Proceeds | Total Return |
|---|---|---|---|---|
| 3 years | £183,018 | +£13,068 | £48,894 | +£6,406 (3.8%) |
| 5 years | £192,283 | +£22,333 | £55,796 | +£13,309 (7.8%) |
| 7 years | £202,017 | +£32,067 | £63,048 | +£20,561 (12.1%) |
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 | £12,763 | £175,048 | £8,745 | £2,371 | £7,470 | 13.3% |
| Yr 3 | £13,409 | £185,709 | £9,210 | £7,809 | £23,568 | 42.1% |
| Yr 5 | £14,088 | £197,019 | £9,699 | £14,213 | £41,281 | 73.7% |
| Yr 10 | £15,940 | £228,399 | £11,031 | £34,773 | £93,221 | 166.5% |
| Yr 15 | £18,034 | £264,777 | £12,540 | £62,514 | £157,341 | 281.0% |
| Yr 20 | £20,404 | £306,949 | £14,246 | £98,381 | £235,380 | 420.4% |
| Yr 25 | £23,085 | £355,838 | £16,176 | £143,441 | £329,328 | 588.3% |
| Yr 30 | £26,119 | £412,513 | £18,361 | £198,902 | £441,465 | 788.6% |
ROI on Total Cash Invested (deposit + SDLT + acquisition costs). Assumes IO mortgage, no tax, no refinancing. Actual returns will vary.
🌎 Area Profile — PO40 9 ⓘ What are deciles?
📊 Investment Skill Analysis
Scenario Analysis
| Scenario | Monthly Rent | Gross Yield | Net Yield | Cashflow/mo | IRR 5yr |
|---|---|---|---|---|---|
| Bear | £904 | 6.4% | 3.9% | £-140 | -8.4% |
| Conservative | £989 | 7.0% | 4.6% | £71 | 2.1% |
| Base | £1,063 | 7.5% | 5.1% | £197 | 6.7% |
| Optimistic | £1,148 | 8.1% | 5.7% | £334 | 11.8% |
| Bull | £1,254 | 8.9% | 6.5% | £491 | 18.4% |
⚠ Condition Flags
Detailed Analysis
💸 Yield & Returns
| Gross Yield | ●7.51% |
| Net Yield | ●5.14% |
| Net Annual Income | £8,739 |
| Deductions: void 8% (−£1,021) · mgmt 10% (−£1,276) · maint 10% (−£1,276) · fixed costs ins.+gas+EPC (−£445) | |
| Monthly IO Mortgage | £530 |
| Monthly Cashflow (IO) | ●£198 |
| Cash-on-Cash Return | ●4.23% |
| 5-Year IRR | ●6.7% |
● Above benchmark ● Near benchmark ● Below benchmark
💰 Tax Analysis
| SDLT (Additional Property) | £9,396 |
| SDLT Effective Rate | 5.53% |
| SDLT (Company) | £9,396 |
| Section 24 Extra Tax/yr (higher rate) | £1,275 |
| SPV Annual Saving | £2,216 |
| SPV Breakeven | — yrs |
| CGT Projected Sale (5yr) | £197,019 |
| Less: Purchase Price | −£169,950 |
| Less: Buying Costs (SDLT + legal) | −£11,996 |
| Less: Selling Costs (est. 2.5%) | −£4,925 |
| = CGT Net Gain (5yr) | £10,148 |
| CGT at 24% | £1,715 |
📈 Scenario Analysis
| Scenario | Monthly Rent | Gross Yield | Net Yield | Cashflow/mo | IRR 5yr |
|---|---|---|---|---|---|
| Bear | £904 | 6.4% | 3.9% | £-140 | -8.4% |
| Conservative | £989 | 7.0% | 4.6% | £71 | 2.1% |
| Base | £1,063 | 7.5% | 5.1% | £197 | 6.7% |
| Optimistic | £1,148 | 8.1% | 5.7% | £334 | 11.8% |
| Bull | £1,254 | 8.9% | 6.5% | £491 | 18.4% |