 |
 Cash Flow Example |
|
| Development |
Northants |
| Area |
Wellingborough |
| No of Beds |
2 |
| Parking |
No |
| Sale Price: |
|
£94,995.00 |
| Negotiated Discount |
0.00% |
£0.00 |
| Purchase Price |
|
£94,995.00 |
| Initial Exchange Deposit |
20.00% |
£18,999.00 |
| Reservation Deposit |
|
£1,000.00 |
| Completion Deposit |
0.00% |
£0.00 |
| Procurement Fee |
5.00% |
£4,749.75 |
| Stamp Duty |
0.00% |
£0.00 |
| Legal Fees |
|
£500.00 |
| Search Fees |
|
£150.00 |
| Mortgage Broking Fee |
1.00% |
£759.96 |
| Survey Fee |
|
£350.00 |
| Max. Mortgage L T Value |
80.00% |
|
| Max. Mortgage Amount |
|
£75,996.00 |
| Actual Mortgage Taken |
|
£75,996.00 |
| Surplus Mortgage Available |
|
£0.00 |
| Cashflow & Purchasing Procedure |
| Day 1 |
| Reservation Deposit |
|
£1,000.00 |
| Survey Fee |
|
£350.00 |
| Search Fees |
|
£150.00 |
| Total |
|
£1,500.00 |
| Within 3-4 Weeks Exchange of Contracts |
| Initial Exchange Deposit |
20.00% |
£18,999.00 |
| Less: Reservation deposit paid: |
|
-£1,000.00 |
| Sub Total |
|
£17,999.00 |
| Procurement Fee |
5.00% |
£4,749.75 |
| Total |
|
£22,748.75 |
| Total for Exchange of Contracts |
|
£24,248.75 |
| On Completion Closing Fees |
| Legal Fees |
|
£500.00 |
| Stamp duty |
0.00% |
£0.00 |
| Mortgage Broking Fee |
1.00% |
£759.96 |
| Ground Rent pa paid in advance |
|
£0.00 |
| Service Charges paid in advance |
|
£0.00 |
| Management & Letting Fee |
10.00% |
£504.00 |
| Total |
|
£1,763.96 |
| Grand Total |
|
£26,012.71 |
|
|
| Rental Projections |
|
| Development |
Northants |
| Area |
Wellingborough |
| No of Beds |
2 |
| Parking |
No |
|
| Market Valuation |
|
£94,995.00 |
| Discount |
0.00% |
£0.00 |
| Purchase Price |
|
£94,995.00 |
| Initial Exchange Deposit |
20.00% |
£18,999.00 |
| |
| Mortgage Broking Fee |
1.00% |
£759.96 |
| Max. Mortgage L T Value |
80% |
|
| Max. Mortgage Amount |
|
£75,996.00 |
| Actual Mortgage Taken |
|
£75,996.00 |
| Mortgage Interest Rate |
5.49% |
£4,172.18 |
| Annual Rent |
£420.00 |
£5,040.00 |
| Coverage Factor |
120.80% |
|
| Rental Voids Allowance (weeks) |
2.00 |
£193.85 |
| Annual Rent after Voids |
|
£4,846.15 |
| Management & Letting Fee |
10.00% |
£504.00 |
| Ground Rent pa paid in advance |
|
£0.00 |
| Service Charges pa paid in advance |
|
£0.00 |
| Rental Increase pa |
|
5.00% |
|
| |
Year 1 | Year 2 | Year 3 | Year 4 | Year 5 |
| Annual Rent | £5,040.00 | | | | |
| Rental Voids Allowance |
£193.85 | | | | |
| Rental Income (incl void) | £4,846.15 | £5,088.46 | £5,342.88 | £5,610.03 | £5,890.53 |
| Costs | | | | | |
| Interest Costs |
£4,172.18 | £4,172.18 | £4,172.18 | £4,172.18 | £4,172.18 |
| Ground Rent |
£0.00 | £0.00 | £0.00 | £0.00 | £0.00 |
| Service Charges |
£0.00 | £0.00 | £0.00 | £0.00 | £0.00 |
| Management & Letting Fee |
£504.00 | £529.20 | £555.66 | £583.44 | £612.62 |
| Costs for year |
£4,676.18 | £4,701.38 | £4,727.84 | £4,755.62 | £4,784.80 |
| Net Income for year |
£169.97 | £387.08 | £615.04 | £854.41 | £1,105.73 |
|