Swansea Road – Decision to invest

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Swansea Road – Decision to invest

Swansea Rd Photo text: decision to invest

We had a flip appear today, and taking a look at it, it was almost an immediate yes before doing the numbers as the opportunity to add value was immense by doing some land development style title splitting, subject to planning of course.

The basic numbers:
Purchase: £80,000
Costs: £5,000
Refurb: £20,0000
Total Spend: £105,000

Walk score: 40 Car-Dependent

This is a semi-detached house in a very car dependant area, so this doesn’t fit the Kevin Green criteria of near town centre as such. We typically wouldn’t go with a property with a walk score under 60 or even 70, however this one has land development potential as a bonus. As it stands, even without this potential development, the numbers work well, but it will be a fantastic one if we get the planning approval for the development.  A few road humps stand in the way, like the telegraph lines going across the lawn, but is all allowed for.

This area has seen 2 property sales in the last 12 months at £135,000 and a 4 bedroom go for £155,000 nearby last year, so great potential if we get planning permission to split the land and add a couple of rooms.

The area has a few shops and a school nearby, and is pretty close to the M4.  A full area analysis of SA5 is here: SA5 Area Analysis.  Swansea Rd is one of the highest value streets in SA5, which is positive.

Fun Facts for SA5 - Highest Value Streets, including Swansea Rd SA5

The returns are below:

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Below here is some more info for people we know and trust. Check out how to read it here.


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Plan A: Flip
Sale Price: £135,000
Profit: £20,316
Return: 18.2%
Term: 6 months
Bonus: Land sale £30,000

Plan B:  Rent
Yield: 6.45%
Cashflow: £150 pcm
OPT: 15.32%
TRR: 4.76%

The rental return on this is very poor due to the large spend on planning permission and renovating to a flip standard, however the upside of selling the plot is worth the risk.



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Jun and Craig are the principals of JC Holdings, they are on an adventure in the UK and sharing their experience via this blog for education and transparency. More details about them on the about page here About us

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