🏡 Reno Opportunity: £99k Driffield (YO25) 2-bed terrace

Hello and welcome to today’s edition of The Reno Hunter newsletter! Today, we’re heading to Driffield to explore a freehold terraced house with plenty of potential. With a cautiously ambitious sale projection of £160,000 after renovation, this property is perfect for investors looking to make smart, calculated moves.

The Property 🏡

• Address: Harper Street, Driffield, YO25 6LX

• Agent: Ullyotts, Driffield

• Listed Price: £99,500

• Comparable Sale: £145,000 (low spec)

• Area Median (2-bed houses): £165,000

A two-bedroom property with two reception rooms and an opportunity to extend at the rear. Proximity to neighbours may present challenges for extensions, but creative solutions could unlock significant value.

🌱 🔗 View the property details on Rightmove 🔗 🌱

📊 Running The Numbers 📊

Here’s how the numbers stack up:

💰 Cost to Buy 💰

• Purchase Price: £95,000 (after negotiation)

• Stamp Duty (SDLT, assuming second home): £4,750

• Legal Fees: £2,000

• Total Cost to Buy: £101,750

🔨 Cost to Refurb and Hold 🔨 

• Refurbishment Budget: £25,000

• Monthly Mortgage Payments: £6,750 (5% interest, 75% LTV, assuming 6 months renovation time)

• Total Refurb and Holding Costs: £31,750

💷 Cost to Sell and Revenue from Sale 💷 

• Agent Fees (1.5% of sale price): £2,400

• Legal Selling Fees: £1,000

• Total Selling Costs: £3,400

• Projected Sale Price: £160,000

📈 Summary 📈 

• Total Costs (Buy, Refurb, Hold, and Sell): £136,900

• Profit: £23,100 (Projected Sale Price - Total Costs)

• ROI: 16.87% (Profit / Total Costs)

🛠️ Renovation Plan ⚒️ 

To bring this property to its full potential, here’s what’s needed:

1. Double glazing: Upgrades for modern insulation (£5,000–£7,000).

2. Carpets/Flooring: Entire property (£2,500–£3,500).

3. Doors: Replacement where necessary (£1,500–£2,000).

4. Kitchen: A complete refresh, with potential to extend into the current downstairs bathroom space (£8,000–£10,000).

5. Boiler: Check and service (£500–£1,000).

6. Bedrooms: At least one bedroom requires re-plastering before redecorating (£1,000–£1,500).

7. Bathrooms: Two to address. Renovate the main bathroom (£4,000–£5,000) and remove the downstairs bathroom (£2,000).

Total Estimated Refurb Costs: £19,000 - £32,000

🔮 How it could look 🔮 

💡 Final Thoughts 💡

Although there are a lot of positives and potential to this place, other challenges may include the proximity of the property to a large town - who is the potential buyer here? Are properties on the street moving regularly?

This property offers a unique combination of affordability and potential, however we strongly recommend taking a builder and plumber into the property to give more accurate estimates.

Until next time…

Happy hunting,
The Reno Hunter Team

👉 Looking for renovation inspiration? Check out before-and-after renovation ideas on Instagram.

Disclaimer:

All projections are based on provided data and are subject to change. Always conduct your due diligence before proceeding with any property investment.