Up and coming Ebbw Vale provides another opportunity for a Buy to let or flip

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sold out

Up and coming Ebbw Vale provides another opportunity for a Buy to let or flip

399.00

Reserve this investment opportunity for £399

Figures in Brief:
Sale Agreed at: £60,000
Estimated Done Up Value: £115,000
1st exit: Flip Potential Profit: £17,292
2nd exit: Cash Flow (BTL): £ 148.44

Property Description: 

This is a good sized 3 bed mid terrace based in the popular Willowtown area of Ebbw Vale. The property is very close to schools, supermarket, petrol station and within walking distance of the town centre, shops, pubs and restaurants. Also very close to train station and popular with commuters for the heads of the valleys road links and infrastructure. This is a high rental demand area and very popular for families.

The property is a deceased estate, in good condition but very dated and in need of some TLC and refurbishment to bring it up to today's standard of family living. Large garden at the rear of the property that is low maintenance. Parking is on the road. The exterior of the property is mixed - it has recently been painted at the front and is in good condition but at the rear it needs painting plus the barge boards and rain goods. The guttering is blocked and water has come through on to parts of the wall in various places - front and back - this needs clearing to prevent damage and damp to the property.

From the front door, enter into the hallway, and turn right into the lounge. Lounge is of good size plus has large window and fireplace.
Dining room is also accessed from here, which is also of good size plus window and fireplace.
The kitchen is housed in the extension at the rear of the building and the bathroom is at the end of this.
There is a door in the kitchen which accesses the lean-to area. This currently houses a large freezer and 2 cupboards.
From here there is a door to the garden. Then garden at the rear. The garden has a large shed.

From the hallway there is a set of stairs that goes up to the landing where there is a window at the top. From there access the three bedrooms.

Suggestions to add value to the house:

Bathroom doesn't have a bath - families with children always want a bath and a shower.
Utility room - this area could be a real selling point as the kitchen is medium size so if there's an extra space to put some extra cupboards, washing machine etc, then this will add value
Could knock through the lounge to the dining room and make open plan (need RSJ) (not included in budget), or change the internal window into glass doors to add light
Could potentially put the bathroom upstairs at the top of the stairs, move staircase back and pinch a bit of room from bedroom at the rear (not included in budget), this would then allow for a much bigger kitchen downstairs and a wc.

Add To Cart

Property Information:


Property Address: Ebbw Vale, NP23 6NP

Number of Bedrooms (current):  3

Is there potential to add a bedroom?: No

Reception Rooms: 2

Bathrooms/shower-rooms: 1

Property Asking Price: £72,000

Agreed Sale Price: £60,000

Fair Market Value (DUV): £115,000

Comparable 1: https://www.rightmove.co.uk/house-prices/detailMatching.html?prop=68979064&sale=9520252&country=england £115k

Comparable 2: https://www.zoopla.co.uk/property/60-tredegar-road/ebbw-vale/np23-6ns/16791665 £122,950

Comparable 3: https://www.rightmove.co.uk/property-for-sale/property-73627225.html £119,500

If no comparables, please state why there are no direct comparables: https://www.rightmove.co.uk/house-prices/detailMatching.html?prop=65262547&sale=9520264&country=england £119,950
https://www.rightmove.co.uk/house-prices/detailMatching.html?prop=14831941&sale=90157128&country=england £115k (2017)
https://www.bidmeadcook.co.uk/property-search/property/ube0998/3-bedroom-property-for-sale-ebbw-vale/place-ebbw%20vale/glyn%20ebwy/county-blaenau%20gwent/radius-3/soldandsaleagreed-includesaleagreed/pagenumber-5/lat-51.7779197886239/lon--3.21169867711348/propertyindex-49
£127,500
https://www.rightmove.co.uk/house-prices/detailMatching.html?prop=73921016&sale=8436178&country=england £134,950
https://www.rightmove.co.uk/property-for-sale/property-84152228.html £139,950

FOR SALE:
https://www.rightmove.co.uk/property-for-sale/property-72454399.html £125k
https://www.rightmove.co.uk/property-for-sale/property-73811335.html?utm_content=v2-ealertspropertyimage&utm_medium=email&utm_source=emailupdates&utm_campaign=emailupdates1day&utm_term=buying&sc_id=29807490&onetime_FromEmail=true&cid=4200ad8b-0ebc-4885-8655-a436f68bda4b&csg=2ae7a3d6984a0417de625dc9e7be33593dac2755c4900afb39d4ee9e111428fc £130k
https://www.rightmove.co.uk/property-for-sale/property-73098940.html £135k

NOT DONE UP:
https://www.bidmeadcook.co.uk/property-search/property/ube0985/3-bedroom-property-for-sale-tredegar-road-ebbw-vale/place-ebbw%20vale/glyn%20ebwy/county-blaenau%20gwent/radius-3/soldandsaleagreed-includesaleagreed/pagenumber-3/lat-51.7779197886239/lon--3.21169867711348/propertyindex-26 £84,950
https://www.bidmeadcook.co.uk/property-search/property/ubb0752/4-bedroom-terraced-house-for-sale-alexandra-street-ebbw-vale/place-ebbw%20vale/glyn%20ebwy/county-blaenau%20gwent/radius-3/soldandsaleagreed-includesaleagreed/pagenumber-3/lat-51.7779197886239/lon--3.21169867711348/propertyindex-29 £89,950
https://www.rightmove.co.uk/house-prices/detailMatching.html?prop=55415493&sale=56170652&country=england £70k


 

Market Status: Sale Secured by Sourcing Agent

Why is the property being sold?: Sale identified by sourcer (open market)

Is the property in a lettable condition: Yes

Is the sale price negotiable?: No

Property Type: House

Freehold or Leasehold: Freehold

Is the property part of portfolio?: No

Exit Strategy 1: Cash Purchase Flip (or bridge)

Exit Strategy 2: BTL

Exit Strategy 3: Capital Growth

If HMO strategy please select: N/A

Potential Target Demographic: Families


 Refurbishments Required

Estimated Refurbishment Costs: £25,000

Paint barge boards
Clear guttering (completely blocked)
Paint rain goods and rear of house (front has recently been done)
Tidy garden
Need new back door
Rip out existing
Full rewire
Need new boiler
Need new central heating system/rads
Need new internal doors
Skim whole house top to bottom
Need new kitchen
Utility room units (x2)
Twin wall polycarbonate roof (utility) (budget £350)
Need new bathroom
Paint and decorate throughout
Need new flooring throughout

SMP Can project manage the build for 10% +VAT of the refurb amount

The local council in this area are offering a 0% loan of up to £25,000 for properties that have been empty for at least 6 months to bring them back into a liveable condition.
Sourcing Agent can provide the information needed to apply for this.


Flip Figures (Buy, Renovate, Sell)

Purchase Price: £60,000
Refurb costs: £ 25,000
Entry legal costs: £1200
Exit legal costs: £1000
Stamp Duty: £1800

Survey: £450
Broker Fee: £400

SMP Consultation Fee: £ 3997

Estate Agent selling fees: £1573

RESALE PRICE: £ 115,000

Potential Profit: £17,292


BTL Figures (Buy to let)

Purchase Price: £60,000
Refurb costs: £25,000
Legal costs: £1200
Stamp Duty: £1800

Survey: £ 450
Broker Fee: £400
SMP Consultation Fee: £3997
Rental Income: £500
New Mortgage (3.5%): £251.56

Estate Agent Rate (10%): £50
Management & operating Expenses (10%): £50

CASH FLOW: £148.44

Money left in deal £8884

Money out in 4.9 years  

Disclaimer : Perform your own Due Diligence. The ROI above is not a guaranteed return and is an indication of the potential based on achieving the relevant figures in all aspect of the purchase, refurbishment and refinance/resale. All figures will be subject to the buyers status and market fluctuations.


 Area Description:  Ebbw Vale is a thriving town, nestled in the hills at the top of the Heads of The Valleys Road, which offers excellent links to Abergavenny and the South. The area has excellent schools and facilities such as a leisure centre and a newly refurbished cinema in Brynmawr's market square where a weekly local market is held. Ebbw Vale holds a huge weekly market each Friday in the town centre which brings lots of visitors to the area.

Ebbw Vale is most famous for its old Steel Works site, which is currently being regenerated and the old site will soon hold the new hospital, and railway station direct to Cardiff, bringing valuable links to the area. It is a popular town for young families as it offers a fantastic sense of community spirit, opportunities and new development, especially since the recent announcement to turn the festival park into a major leisure and tourist destination.

Here’s the link: https://www.southwalesargus.co.uk/news/17544786.masterplan-revealed-for-plans-to-turn-ebbw-vales-festival-park-into-a-major-leisure-and-tourist-destination/

Heads of the valleys road infrastructure is being made into dual carriage way all the way to Merthyr Tydfil. The A465 dual carriageway between Gilwern and Brynmawr is scheduled for completion end 2018. The latest phase of the Heads of the Valleys road infrastructure project is costing around £220m.
So far Section 1 between Abergavenny and Gilwern, Section 3 between Brynmawr and Tredegar, and section 4 between Tredegar and Dowlais Sections 5 and 6 are scheduled to be completed in 2020.
Much of it is already done but it's not yet complete.

Here's a link to the works going on: https://www.walesonline.co.uk/business/business-news/how-key-section-heads-valleys-11765260

Nearest rail link is Ebbw Vale – 1.6 mile. It has train links that get you to Cardiff central in 1 hour

Entertainment/Leisure - Great selection of local bars, restaurants and a cinema. Ebbw Vale sports centre has some great facilities including a gym, swimming pool with diving facilities and can host a range of events which have included The Royal Shakespeare Company, Mixed material Arts Events, Swimming Galas and is just 3 miles.

A number of restaurants are within 5 miles of the property. There is a Halfords, Asda superstore, Tesco, Morrisons, public parks, Golf club, Rugby/Football club and Cinema within a few miles of the property, offering great amenities and leisure in close proximity to the property. Local theatre and Beaufort Hill Ponds and Woodlands.

It's an easy commute to nearby Cwmbran where the new super hospital is currently being built and opens in spring 2021. The super hospital will create new 600 jobs when it is open so there will be high demand for housing in the area and house prices will inevitably increase in the next 2 years.

It’s currently an investor’s market in this area, so a great chance to grab distressed property and add value whilst the prices are at this level.

Here’s a link to the latest update:
https://www.walesonline.co.uk/news/health/grange-university-hospital-cwmbran-details-16029785

Accommodation Premier Inn 3 star

SCHOOLS within the area
• Beaufort Primary School
• Glyn Coed
• Rhos y Fedwen
• Willowtown Community
• Ebbw Fawr Learning Community - Secondary super school

Nearest Train Station: Ebbw Vale 1.6 miles (6 mins in car) Ebbw Vale Parkway 1.6 miles (6 mins in car)

Any key journey times: Abergavenny 11.9 miles
Llanfrechfa hospital 19 miles (32 mins)
Newport 21 miles
M4 motorway 21 miles
Bristol 51 miles (1 hour 9 mins)
Merthyr Tydfil 10 miles


 

The fine Print
SMP operates in trust with its potential investors. SMP is registered with the Property Ombudsman Group. SMP prides itself on delivering BMV deals with accuracy and confidence. The sourcing fee for this deal is £3997(inc VAT) which is paid on completion of the sale. A £399 deposit is required to secure the deal which is refundable if the investor decides not to proceed to an agreed sale with the vendor, ie after viewing. The deposit is not refundable if the investor pulls out of the purchase after sale agreed. 

SMP takes no responsibility if deals “fall through” for matters out of our control. It is always highlighted that property investment carries an element of risk and ultimately a deal may not be successful. There for deal owners are advised to carry out their own due diligence to confirm for themselves the findings SMP present. SMP has no control of the UK property market prices and investments can be lost or profit margins shortened with the fluctuating market