THE HUDSON
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Building momentum.
I was fortunate enough to have been referred 94HD off the open market by a close associate of mine.
Located on a lovely, residential street minutes away from Loughborough University, it had an integral garage and ample opportunities inside to reconfigure the rooms and create additional bedrooms, bathrooms and living space.
I purchased the house on the 11 July, and had tenants move in on the 1st October. In that time, we gutted the house, converted a garage to an additional bedroom and reconfigured 2 bathrooms to provide 6 ensuite’s for each bedroom.
Safe to say, it had to be a very well drilled operation to get it done in time.
Purchase & Costs
Purchase Price: £270,000
Deposit: £92,724 (Bridge Loan)
Total Loan Repayable: £183,642.38
Purchase Fees: £3,000
Stamp Duty: £11,600
Renovation; £60,000
Post Renovation & Returns
Re-Valuation: £360,000
Cash Released: £306,000 (85%)
Money Left in Deal: £44,966.38
Annual Gross Rent: £43,680
Mortgage: £15,120
Utilities: £3,120
Management Fees: £3,500
Contingency 5%: £2184
Net Profit Per Annum: £19,756
ROI: 44%
Renovation & Works
A lovely 1940’s build, it was a semi detached, 5 bed, 2 bathroom home. It had a separate reception room and an integral garage, so I spotted an opportunity to merge the reception and kitchen into one, and converting the garage to provide an additional 6th bedroom with ensuite.
The house came with a double story extension already built, providing the garage and two additional bedrooms upstairs. As a result, the location of the existing soil pipe allowed me to reconfigure the two upstairs bathrooms heavily to provide 5 ensuite bathrooms on the first floor.
The end result delivered a 6 bedroom, 6 bathroom home with a large open plan kitchen and living space, flanked by a vast garden complete with hot tub and ping pong table. An ideal student home.
Garage Conversion
I benefited from Permitted Development rights, allowing me to convert this internal garage into a downstairs lettable bedroom complete with ensuite bathroom.
The garage had previously been erected and already had an entry way from the main house.
We were also able to plumb in an additional ensuite bathroom.
Kitchen & Living
Originally, what now is the open plan living and kitchen was previously divided into two separate areas by a supporting wall.
Once the wall was removed, I was able to reconfigure the kitchen to provide more space and more amenities.
The kitchen flowed beautifully into the living space, complimented by surround sound and 100” cinema screen.
Bathrooms & Ensuite’s
The house originally had 2 main bathrooms, and an additional WC.
The layout gave the opportunity for some heavy reconfiguration to squeeze in more bathrooms to cater for 6 students.
With some clever partitioning and creativity, we used the existing space we had to create a total of 6 ensuites; greatly enhancing each bedrooms’ rent generating potential.
Bedrooms
Bar adding a bedroom via the garage conversion, most of the bedrooms had basic works carried out; spotlights, TV’s, USB points, redecorating and such.
If I was to be nit-picky, the drawback of this house was that half the rooms are very large, whilst the other half are quite small.
That reinforced my reasoning in adding the ensuite’s; although you may have a smaller room, this is greatly compensated by the fact that you have an ensuite bathroom.
