CASE STUDY
67 Radcliffe Gardens
A beautifully presented 4-bed HMO in Carshalton
Key Metrics
4 Bedrooms
Full Managed HMO
£130,000
Initial Investment
£67,500
Cash Recycled
20.1%
Annual Rental Return
The UK Property Market
Robust Track Record
The UK property market has consistently delivered strong returns over the past 50 years, with house prices rising by an average of around 7% annually.
Increasing Rental Demand
Rental demand in London and surrounding areas is incredibly strong, fuelled by a thriving job market and a growing population. With consistent demand from young professionals and students, rental prices continue to rise.
Strong Financial Standing
With a stable economy, transparent legal system, and well-regulated financial markets, the UK offers a secure environment for investment. London’s status as a global financial hub also attracts international capital, further boosting property values and investment opportunities across the UK.
Carshalton
Transport Links
Carshalton is a Small Town in the South of London with direct trains to London Bridge and London Victoria, and access to major Motorways such as the M23 or M25.
Its excellent road connections, train links into London, and less than 1 hour drive from the East coast make this a top town for commuters to settle when compared to the cost of living in Greater or Prime Central London.
Potential Tenants
Carshalton benefits from an abundance of local key workers working at The Royal Marsden Hospital, leader in Cancer Research in the Country, as well as good train connections to different London Universities and an excess of highly acclaimed and independent grammar schools.
Employment
Within 30 minutes commuting distance from Central London, and surrounded by areas such as Sutton, Croydon or Morden, the area has seen significant regeneration over the past decade.
The Property
Existing Property
3 Beds, 1 Bath, 89 m²
The flat layout consisted of three bedrooms, a large living room, a kitchen and a bathroom, with a large corridor and stairs leading to the communal areas.
The property is situated on the top floor of a very quiet Ex-Council Estate and was in need of light modernisation.
The Strategy
The works related to this project were mainly focused on the renovation of the bathroom, and modernisation of the looks of the property.
To increase it's appeal to tenants, we created a separate cloakroom to provide the flat with a second toilet and basin.
We carried out a partial re-wiring of the property to bring it to HMO standards and replaced all existing doors and frames to solid core high quality oak fire doors.
Finally, we replaced all flooring in the property with a light wooden laminate floor, as well as replaced all skirting work to a more discreet style, and re-painted the property in a light tone.
The Timeline
Offer Accepted
Oct 2021
Exchange of Contracts
Feb 2022
Refurbishment Works
Mar-Aug 2022
Refinance & Rent
Sep 2022
The Numbers
Acquisition
Listed Price: £320,000
Purchase Price: £315,000
Legal & Mortgage Fees: £3,150
Stamp Duty: £3,250
Renovation Costs: £25,100
Mortgage Interest Costs: £2,000
Gross Development Cost: £348,500
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Financed Funds: £222,500
Cash Requirement: £126,000
Refinance
Gross Development Value: £320,000
Recycled Cash: £66,000
Equity still invested: £60,500
Rental Return (per annum)
Rental Income: £35,000
Mortgage Interest Costs: (£14,300)
Running Costs: (£6,500)
Net Yield (Optimistic): 23.5% £14,200
Voids & Maintenance: (£2,000)
Net Yield (Conservative): 20.1% £12,200
The Gallery
About Us
Dave
Dave “Property” Kidd is the Founder and Managing Director at Property Reminted.
Having built a multi-million pound property portfolio and finding financial freedom for himself, Dave left behind his successful corporate career to pursue fulfilment in helping others achieve the same.
Sergio
Sergio Grande is our Investment Director at Property Reminted.
A RICS Chartered Surveyor and Property Investor, Sergio has a wealth of Construction experience having managed multi-million pound Commercial and Residential Schemes. This experience is used to carry out detailed analysis and to implement budget management strategies on all our Property Deals; an absolute must for optimising Return On Investment.
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