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    Northamptonshire NN18 Investment Brochure

    Uploaded by

    Mark I'Anson
    This document describes a 12-year lease option deal on a 3 bedroom terraced house in Northamptonshire, NN18. The market value is £94,000 and rent is estimated at £460 per month. The investment required is £5,992 plus VAT, and the estimated gross profit over 12 years is £73,730. The neighborhood profile indicates it is a low-income area with council housing and routine jobs.

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    Northamptonshire NN18 Investment Brochure

    Uploaded by

    Mark I'Anson
    75 views7 pages
    This document describes a 12-year lease option deal on a 3 bedroom terraced house in Northamptonshire, NN18. The market value is £94,000 and rent is estimated at £460 per month. The investment required is £5,992 plus VAT, and the estimated gross profit over 12 years is £73,730. The neighborhood profile indicates it is a low-income area with council housing and routine jobs.

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    Northamptonshire NN18 3 Bed Terraced House on a 12 Year Lease Option with £73,730 Gross Profit

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    This document describes a 12-year lease option deal on a 3 bedroom terraced house in Northamptonshire, NN18. The market value is £94,000 and rent is estimated at £460 per month. The investment required is £5,992 plus VAT, and the estimated gross profit over 12 years is £73,730. The neighborhood profile indicates it is a low-income area with council housing and routine jobs.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    75 views7 pages

    Northamptonshire NN18 Investment Brochure

    Uploaded by

    Mark I'Anson
    This document describes a 12-year lease option deal on a 3 bedroom terraced house in Northamptonshire, NN18. The market value is £94,000 and rent is estimated at £460 per month. The investment required is £5,992 plus VAT, and the estimated gross profit over 12 years is £73,730. The neighborhood profile indicates it is a low-income area with council housing and routine jobs.

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    12 Year Lease Option – Northamptonshire, NN18

    3 Bed Terraced House


    Packaged Property Deals, “Leaving you time for more important things.”

    Lease Option Deal - £73,730 Gross Profit

    NORTHAMPTONSHIRE, NN18
    Financial Details
    Accommodation comprises of:
    Living room, dining room, hall, 3 bedrooms, bathroom

    Structure of deal:

    •Market value £94,000


    •Estimated rent £460 per month (single let)
    •Mortgage payments £174
    •Investment required - £5,992+vat
    •Legals included
    •Rental profit £240 per month
    •12 year lease option available

    Financial details:
    Investment required is £5,992+vat

    •Profit (gross) example = £73,730


    •Capital Growth (3%) = £39,170
    •Rental Profit (gross) for term - £240x12x12 = £34,560
    •Recommended & experienced solicitors used
    •Reservation £1,000+vat
    Executive Summary
    0.00
    Lease Option - Executive Summary
    Northamptonshire, NN18
    House 3 Bed
    Valuation £ 94,000
    Discount 0.0%
    Discounted price 94,000
    Est. Debt on Property after Exchange £ 94,000
    Assumed rent / month £ 460
    Assumed rent / year £ 5,520
    Yield @ current value 5.9%
    Yield @ discounted price 5.9%

    ii) Investment Requirement Northamptonshire, NN18


    Reservation Fee £ 1,000 (+vat)
    Total Cost of Deal £ 5,992 (+vat)

    iii) Cash Flow Northamptonshire, NN18


    Debt on Property
    Debt Term Type Monthly Payment Total Owed
    Debt 1 0 £ 0 £ 174 £ 94,000
    Debt 2 0 0 £ - £ -
    other Debt 0 0 £ - £ -
    Total Debt attached to property £ 174 £ 94,000
    Cash from Buyer
    to Vendor £ - 2000
    Cash from
    Vendor to Buyer £ - 0
    Debt to be paid
    by Vendor on
    Exchange £ - 0
    Debt to be paid
    by Buyer on
    Exchange £ 174 0.00

    Total Cost £ 96,000


    Debt to be cleared by buyer at purchase (lump sum) £ - 0
    Debt Remaining on Property £ 94,000
    Total Montly Cost £ 174
    Ground rent / month £0
    Service charges / month £0
    Management fee / month 10.00% £ 46
    Total Costs / month £ 220
    Total Costs / year £ 2,640
    Rental rate / week £ 106
    Rental rate/ month £ 460
    Rental rate / year £ 5,520
    Net cash flow / month (Assumes 100% occupancy) £ 240
    Net cash flow / year (See below for occupancy variables) £ 2,880
    Sales Comparable
    Rental Comparable
    Neighbourhood Profile
    Often, many of the people who live in this sort of postcode will be low income
    with routine jobs living in terraces and flats. These are known as type 46 in the
    ACORN classification and 1.4% of the UK's population live in this type.

    The biggest concentrations of neighbourhoods fitting this profile are in Scotland.


    Other places with high levels include Nottingham, Harlow, Corby and Norwich.

    These postcodes are often council estates housing young families and singles.
    Many of the families are single parent households. Incomes are low. People have
    few, if any educational qualifications and their routine jobs are in shops and
    factories. Unemployment is high, and, despite the overall youthfulness of these
    areas, there are a number of people suffering long-term illness.

    People generally live in terraced houses and purpose built low-rise flats. Homes
    are rented from either the local council or Housing Association. They are
    typically two bedroom and thus quite crowded for the size of household.

    People in this type are on tight budgets and food bills are low relative to the size
    of the families. However, children are given the odd fast food treat. Phone bills
    are much smaller than average, and people make use of the finance options of
    catalogue shopping.

    A number feel they are likely to require a loan in the near future. Betting and the
    lottery are perceived to offer the chance of more money and a better standard
    of living. Leisure activities are restricted to low cost activities such as angling,
    bingo, listening to music and watching television. There is some uptake of cable
    TV and digital television.
    Property – Training – Wealth Creation

    3 Bed Terraced House


    Packaged Property Deals, “Leaving you time for more important things.”

    12 Year Lease Option Deal

    Profit Warning - £73,730

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