FLIP Investment Analysis Report
This report assesses the viability of acquiring and refurbishing 36 Bertie Road, Wrexham. This analysis focuses strictly on the potential for a quick exit/flip.
Executive summary
The property at 36 Bertie Road presents a solid opportunity for a professional flip, provided the entry price is negotiated down to £165,000. Currently listed at £180,000, the margin is too tight. By implementing a high-impact cosmetic refresh and improving curb appeal, an ARV of £215,000 is achievable within 3-4 months. The project carries moderate risk due to market cooling in the £200k+ bracket for 2-bed semis, necessitating precise cost control.
Market Analysis & ARV
Market Value Analysis After Refurbishment
Analysis of local transaction data (LL13 postcode) indicates a strong demand for "move-in ready" semi-detached family homes. While 3-bed properties often trade between £210k-£260k, a high-specification 2-bed semi-detached property in this specific micro-location has a realistic ceiling at approximately £215,000. The current "as-is" condition is dated, limiting its appeal to first-time buyers who prioritize turn-key homes. By modernizing the kitchen, updating the bathroom, and refreshing the flooring/paintwork, the property will shift from a "doer-upper" to a premium choice for young professionals or small families. We prioritize cosmetic uplift over structural changes to minimize risk and maximize speed of turnaround.
Financials & ROI
Total Investment Cost
Negotiated Purchase£165,000
Stamp Duty (Investor)£8,600
Refurbishment Budget£15,000
Solicitors£1,500
Surveyor£500
Holding Costs (4mo)£3,300
Total Project Cost£183,900
Exit Projection
Projected ARV£215,000
Agent Fees (1.5%)£3,225
Gross Profit£31,100
ROI16.9%
Seller Motivation & Opportunity
The listing mentions "NO CHAIN," which is a primary indicator of a motivated seller needing a quick, reliable transaction.
- Chain Free: Eliminates the biggest cause of transaction collapse.
- Listing History: Property has been on the market, increasing scope for aggressive negotiation.
Risk Assessment
Overall Risk Level
Risk Level: 45 / 100 – Moderate
Risk Level Explanation
The primary risk is the "ceiling price" in the area. If the local market for 2-bed semis dips or hits a saturation point, the £215k target becomes difficult. The investment is safe if purchased under £165k; any higher reduces the margin and increases holding risk.
Property Characteristics & Risks
- Structural/Condition: The building is traditional and brick-built, reducing high-risk structural unknowns.
- Size: It is a 2-bed property; smaller pool of buyers compared to 3-beds.
Potential for Additional Bedroom
Assessment: 1% (Extremely Risky/Unviable). Reconfiguring for a 3rd bedroom would require taking space from the living areas, which would decrease the property's overall utility and marketability. It is not recommended.
Estimated Add. Cost£25,000+ (structural) RecommendationFocus on aesthetic upgrades only.
Negotiation Strategy
Use the following to push the price to £165,000:
- Condition of Outdoor Steps: The garden stairs are weathered and look like a trip hazard - £3,000 potential reduction.
- Dated Kitchen/Bath: Both require full replacement to reach ARV - £5,000 potential reduction.
- General Presentation: The property is "lived in" and needs full redecoration - £5,000 potential reduction.
- Chain-Free Closing: Leverage the "No Chain" status by offering a 28-day completion - High probability.
Negotiation Probability: 85/99
Refurbishment Plan
Refurbishment Cost Estimate
Kitchen (New units/counter)£5,000
Bathroom (Suite & Tiles)£2,500
Decor (Paint/Fixes)£3,000
Flooring (Carpets/Laminate)£2,000
Garden/Exterior Safety£1,500
Misc/Contingency£1,000
Total Refurb Budget£15,000
Refurbishment Shopping List
- Kitchen Units - Cost: £2,000
- Worktops - Cost: £600
- Oven & Hob - Cost: £600
- Bathroom Suite - Cost: £800
- Wall/Floor Tiles - Cost: £600
- Paint (50L) - Cost: £300
- Laminate Flooring - Cost: £800
- Carpets (Bedrooms) - Cost: £600
- Skirting/Architrave - Cost: £300
- External Paint/Stain - Cost: £200
- Internal Doors - Cost: £700
- Lighting fixtures - Cost: £500
Contractor Tasks
- Strip old kitchen/bathroom - Cost: £800
- Plastering (Skimming) - Cost: £1,200
- Kitchen Install - Cost: £1,200
- Bathroom Install - Cost: £1,000
- Painting & Decorating - Cost: £1,500
- Floor Fitting - Cost: £600
- Electrical Safety Check - Cost: £400
- Plumbing tweaks - Cost: £500
- Garden Clean/Stair repair - Cost: £800
- Waste Removal - Cost: £500
- Joinery (Doors/Skirtings) - Cost: £800
- Project Management - Cost: £1,200
Estimated Refurbishment Time
Weeks: 6 || Months: 1.5
Phase 1: Prep/Demo/Stripping || 1 week
Phase 2: 1st Fix/Plastering || 2 weeks
Phase 3: 2nd Fix (Kitchen/Bath) || 2 weeks
Phase 4: Flooring/Decor/Snagging || 1 week
Size of the property
Total Floor AreaApprox. 81.9 sq meters (881 sq ft)
Conclusion & Recommendation
Detailed Recommendation
This is a classic "Buy, Spruce, and Exit" opportunity. The asset is a standard semi-detached in a proven location. The key is strict adherence to the £15k budget. If you exceed this, the 16.9% ROI will erode rapidly. Ensure the kitchen and bathroom are modern, neutral, and clean; these are the primary drivers for your target demographic. We do not advise on structural changes or loft extensions as they will not pay off within a reasonable holding period. Negotiate hard on the purchase price; the "No Chain" vendor is your leverage. Proceed if the price is £165,000 or lower.
Short Recommendation
Proceed with Caution: Good flip potential if acquired for £165,000. Keep renovations cosmetic, budget under £15k, and aim for a 6-week turnaround to secure a 16.9% ROI.
FLIP · Property Analysis