🏡 Reno Opportunity: £85k Sheffield 2-bed terrace

Hello and welcome to today’s edition of The Reno Hunter newsletter! Today, we’re in Sheffield taking a look at this newly listed 2-bed terrace in S25. On the market for £85k, we’ve done our maths around the £75k cash purchase figure.

We have a sale projection of £125k after renovation given the recent STCs last year of two similarly poor-condition properties on the same street at £115k. If you manage to get a discount on the sale price and keep working costs under £20k, you could see around 18% (£19k) profit on this one.

The Property 🏡

• Address: Ryton Road, North Anston, Sheffield, South Yorkshire, S25

• Agent: Reeds Rains

• Listed Price: £85k (NEW TODAY)

• Comparable Sales: £115k same street, poor conditions

• Area Median: £153k

🌱 🔗 View the property details on Rightmove 🔗 🌱

📊 Running The Numbers 📊

Here’s how the numbers stack up:

💰 Cost to Buy 💰

• Purchase Price: £75,000

• Stamp Duty (SDLT, assuming second home): £3,750

• Legal Fees: £2,000

• Building Survey: £500

• Total Cost to Buy: £81,250

🔨 Cost to Refurb and Hold 🔨 

• Refurbishment Budget: £20,000

• Holding costs for 6m refurb (mortgage, council tax, utilities): £1,200

• Total Refurb and Holding Costs: £21,200

💷 Cost to Sell and Revenue from Sale 💷 

• Agent Fees (1.5% of Sale Price): £1,875

• Legal Selling Fees: £2,000

• Total Selling Costs: £3,875

📈 Summary 📈 

• Projected Sale Price: £125,000

• Total Costs (Buy, Refurb, Hold, and Sell): £81,250 + £21,200 + £3,875 = £106,325

• Profit: £125,000 - £106,325 = £18,675

• ROI: (£18,675 / £105,825) × 100 ≈ 17.6%

🛠️ Renovation Plan ⚒️ 

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

• New Bathroom: £4,000

• New Kitchen: £6,500

• New Floors/Carpets: £3,000

• Redecoration Throughout: £2,500

• Landscaping: £2,000

Total Estimated Refurb Costs: £18k before contingency budgets. A couple of the photos look like they are showing signs of damp on the walls so we’ve accounted for a full building survey in the overall purchase costs - something to be aware of.

🔮 How it could look 🔮 

💡 Final Thoughts 💡

If you manage to get a £75k, keep reno costs to under £20k and cross your fingers that this doesn’t need any damp work, you could confidently take this to market at £125k+.

Remember that these types of listings look worse than they are because of the clutter in the photos. Ignore the mess and look at what it could be.

Until next time…

Happy hunting,
The Reno Hunter Team

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

Disclaimer:

Disclaimer:
All figures are estimates based on publicly available data and should not be taken as financial or investment advice. Always consult professionals before making property-related decisions.