BTL · Property AnalysisStatus: Turn-key Investment Opportunity. This period end-of-terrace property in the highly desirable Bear Flat/Widcombe area of Bath is fully refurbished, offering a premium, low-maintenance asset for the high-end rental market.
Rental data suggests an average of £365/week (£1,580/month). While the gross yield is modest due to the high capital entry point in Bath, the Return on Capital Employed (ROCE) is exceptionally strong here because the strategy utilises a relatively low initial capital outlay for the deposit, significantly amplifying the cash-on-cash return. This is a capital growth play disguised as a BTL.
Monthly costs account for mortgage interest (at 1%), agent management (10%), maintenance/voids (10%), and ground rent/insurance. The cash flow is robust, provided the investor can secure lending at the aggressive 1% interest rate specified.
Bath is an extremely supply-constrained, high-demand market. With its proximity to Bath Spa Station, "Bear Flat" location, and period character, this asset is inherently defensive. We assign a Growth Score of 9/10. Capital appreciation is driven by local scarcity and the continued influx of London-based commuters.
Warning: Obtaining a 93% LTV BTL mortgage is non-standard. The investor should be prepared for a reality check; most lenders will require a 25% deposit, which would adjust the ROCE significantly downwards.
Demand in BA2 is aggressive. The target tenant profile is professional couples or individuals working in Bath or commuting to Bristol/London. With high-spec finishes, private courtyard, and permit parking, this property is in the top decile for rental appeal in the area.
Primary: Long-term hold for capital growth. Secondary: Flip. Because the property is already fully refurbished, there is no value-add "heavy lifting" needed. The exit is straightforward: sell to an owner-occupier who values the turnkey, historic nature of the home.
The property is "fully refurbished," meaning no immediate structural or cosmetic work is required. The "potential" lies in furnishing it to a high standard to command top-tier rents.
The description mentions a "large loft which runs the full length of the house." This is a significant value-add opportunity. Recommendation: Consult an architect for a loft conversion (subject to planning) to transform this into a 3-bed property, which could increase value by £75k-£100k.
The primary risk is the high LTV requirement. The physical property risk is very low given the recent refurbishment. The regulatory risk (Leasehold) is mitigated by the 499-year term.
Weeks: 2 || Months: 0.5
Focus is on "snagging" and furnishing for professional let-readiness.
Long Version: This is a premium investment asset. While the gross yield of 3.48% is not "high-yield" in the traditional sense, the capital security of Bath and the potential for a loft conversion make this a sophisticated holding. The key bottleneck is the mortgage; if you can leverage the £40k downpayment against a £545k asset, the ROCE is 17.1%. If you are forced to a 25% deposit, your cash flow will tighten. My recommendation is to move forward only if you can confirm the mortgage lending criteria first. If you secure the property, prioritize the loft conversion plan immediately—it transforms the exit value significantly.
Short Version: Excellent location and turnkey condition. A perfect "hands-off" BTL asset. Focus on verifying mortgage viability for a 93% LTV before proceeding, and plan for a future loft conversion to maximise long-term capital gain.