David Harrowell House, St. Johns Road, Arlesey SG15 6QY, SG15 6QY
Apartment · 2 bed
Supports major UK property portals
This property is sold on a Shared Ownership basis. The buyer purchases and pays rent on the remaining share to the housing association.
⚠ Subletting (Buy-to-Let) is typically prohibited under shared ownership leases without written consent from the housing association. Verify subletting permissions before proceeding. All cashflow figures have been adjusted to deduct the mandatory shared ownership rent.
Suggested Offer Range
Already 37.6% below the comparable sales mean — limited negotiation margin. Strong value at current asking price.
Property Details
- Asking Price
- £112,000
- Property Type
- Apartment
- Bedrooms
- 2
- Bathrooms
- N/A
- Floor Area
- 571 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
Matched signals:
💸 Mortgage & Financing
| Recommended LTV | 75.0% |
| Indicative Rate | 4.99% |
| Monthly IO Payment | £349 |
| ICR (actual) | 3.1x |
| Feasibility | PASS |
| 💲 Total Cash Required | |
| Purchase Price | £112,000 |
| Deposit (25% — 75% LTV) | £28,000 |
| SDLT (additional property, 5% surcharge) | £5,600 |
| Legal fees (est.) | £1,500 |
| Survey (est.) | £500 |
| Arrangement fee (est.) | £999 |
| Total cash required | £36,599 |
Legal and survey fees are estimates. SDLT applies 5% additional-property surcharge (Oct 2024 Budget). Not financial advice.
🔄 BRR Refinance Stress Test
| Purchase price | £112,000 | Loan (75% LTV) | £84,000 |
| Rate (IO) | 5.5% p.a. | Monthly interest | £385 |
| Rent needed (1.5×) | £578/mo | Estimated rent | £1,084/mo |
| Stress ratio | 2.82× (need ≥ 1.5×) +£506 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 | £1,641 |
| SA net/mo | £1,294 |
| BTL est./mo | £1,084 |
| SA vs BTL uplift | +£557/mo |
| Hold Period | Est. Sale Price | Capital Gain | Net Proceeds | Total Return |
|---|---|---|---|---|
| 3 years | £120,612 | +£8,612 | £31,956 | +£3,956 (3.5%) |
| 5 years | £126,718 | +£14,718 | £36,505 | +£8,505 (7.6%) |
| 7 years | £133,133 | +£21,133 | £41,284 | +£13,284 (11.9%) |
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 | £13,003 | £115,360 | £8,917 | £4,717 | £8,077 | 21.4% |
| Yr 3 | £13,661 | £122,385 | £9,391 | £14,860 | £25,245 | 67.0% |
| Yr 5 | £14,353 | £129,839 | £9,889 | £25,986 | £43,825 | 116.2% |
| Yr 10 | £16,239 | £150,519 | £11,247 | £58,439 | £96,958 | 257.2% |
| Yr 15 | £18,373 | £174,492 | £12,784 | £98,209 | £160,701 | 426.3% |
| Yr 20 | £20,788 | £202,284 | £14,522 | £146,257 | £236,541 | 627.4% |
| Yr 25 | £23,519 | £234,503 | £16,489 | £203,670 | £326,173 | 865.2% |
| Yr 30 | £26,610 | £271,853 | £18,714 | £271,680 | £431,534 | 1144.7% |
ROI on Total Cash Invested (deposit + SDLT + acquisition costs). Assumes IO mortgage, no tax, no refinancing. Actual returns will vary.
🌎 Area Profile — SG15 6 ⓘ What are deciles?
⚠️ Shared Ownership — Key Considerations
This listing appears to be a shared ownership scheme.
- Resale restrictions apply — you must usually offer your share back to the housing association first.
- Subletting without housing association consent is typically prohibited.
- Benchmark comparisons are based on the share price, not the full property value.
- Staircasing (buying additional shares) may be possible but incurs further costs.
📊 Investment Skill Analysis
Scenario Analysis
| Scenario | Monthly Rent | Gross Yield | Net Yield | Cashflow/mo | IRR 5yr |
|---|---|---|---|---|---|
| Bear | £921 | 9.9% | 6.0% | £107 | 1.3% |
| Conservative | £1,008 | 10.8% | 7.2% | £284 | 10.4% |
| Base | £1,084 | 11.6% | 8.0% | £393 | 14.3% |
| Optimistic | £1,171 | 12.5% | 8.9% | £514 | 18.9% |
| Bull | £1,279 | 13.7% | 10.0% | £655 | 24.8% |
Detailed Analysis
💸 Yield & Returns
| Gross Yield | ●11.61% |
| Net Yield | ●7.97% |
| Net Annual Income | £8,921 |
| Deductions: void 8% (−£1,040) · mgmt 10% (−£1,300) · maint 10% (−£1,300) · fixed costs ins.+gas+EPC (−£445) | |
| Monthly IO Mortgage | £349 |
| Monthly Cashflow (IO) | ●£394 |
| Cash-on-Cash Return | ●12.52% |
| 5-Year IRR | ●14.3% |
● Above benchmark ● Near benchmark ● Below benchmark
💰 Tax Analysis
| SDLT (Additional Property) | £5,600 |
| SDLT Effective Rate | 5.0% |
| SDLT (Company) | £5,600 |
| Section 24 Extra Tax/yr (higher rate) | £840 |
| SPV Annual Saving | £2,143 |
| SPV Breakeven | — yrs |
| CGT Projected Sale (5yr) | £99,190 |
| Less: Purchase Price | −£112,000 |
| Less: Buying Costs (SDLT + legal) | −£8,200 |
| Less: Selling Costs (est. 2.5%) | −£2,480 |
| = CGT Net Gain (5yr) | £-23,490 |
| CGT at 24% | £— |
📈 Scenario Analysis
| Scenario | Monthly Rent | Gross Yield | Net Yield | Cashflow/mo | IRR 5yr |
|---|---|---|---|---|---|
| Bear | £921 | 9.9% | 6.0% | £107 | 1.3% |
| Conservative | £1,008 | 10.8% | 7.2% | £284 | 10.4% |
| Base | £1,084 | 11.6% | 8.0% | £393 | 14.3% |
| Optimistic | £1,171 | 12.5% | 8.9% | £514 | 18.9% |
| Bull | £1,279 | 13.7% | 10.0% | £655 | 24.8% |