Rented normally, it costs you £20 a month. That is £235 a year, every year you hold it.

Will it pay?Calculator

You top up £20 a month — the mortgage takes 43p of every pound of rent

Borrowing £3,621 less would close that shortfall — which is £3,621 more cash at the start, on top of the deposit.

£406 mortgage

£519 running

£942 rent in£20 short

£175 of that is a guess — no service charge published.

□ service charge not published2 empty weeks a year assumed

What if I change my assumptions?The dials

At the asking price, 25% deposit, 6.50% charged

Change any of these 16 and every card on this page changes with it. The 6.50% is the 5.75% quoted plus a company premium.

◧ worked out from local rents

What will it cost me to buy?Breakdown

£34,500 + refurb costs

And about £1,177 more over five years, because it loses £20 every month you hold it — before any repair. That already assumes the rent never falls.

£34,500 to buy it

deposit · stamp duty · solicitor · fees~£6,417, unseen

□ works not inspected

What would have to be true?

Break-even is within £5,000 of the asked price

It lands that close to the £100,000 asked — inside the step this card rounds to, and inside the confidence band on the rent it works back from. So the price asked is already about the price this rent carries, and there is no honest discount to print.

◧ worked back from the rent

Can we trust the rent?Rent evidence

Nearby lettings back this rent

We hold too few nearby asking rents to cross-check this figure, so nothing here confirms it a second way.

+106 more

our bar: 10 within 500 m

our own middle half£890–£997/mo

■ 116 lettings within 500 m□ no nearby asks to cross-checkAdvertised rents, not signed tenancies

What will the rent borrow?Lender test

The rent carries the whole loan — it could fall 25% and still cover it

Your deposit is what limits this one, not the rent. Lenders test the rent at 7.5% and need it to cover 145% of the payment.

£680 needed

of £906 rent

stressed at 7.5%, 145% cover

◧ rent after empty weeks £906PRA-style test

How big is it, really?The plan

Measured off the plan, not by a surveyor 439 sq ft

The area comes off the plan, not a survey. Open for what that means.

□ area off the floorplan — not a survey

Is it a good location?Open the map

Luton, LU1 2JE

No schools in this postcode area and flood risk checking… — open for the map, the schools and the rest.

Article 4Not assessed for this address

■ postcode area, not this address

What could kill thisThe checks

You would need a licence from the council first

Letting without the council’s licence is an offence, and the fee is in no figure here.

2 problems found · 1 came back clear · 4 we could not check · 2 do not apply to this property

■ from council licensing registerlisting last seen 17 Sep 2026

Which strategy wins?The ways to run it

Every way loses money — Standard rental loses least, at £20 a month

Let it to the council: £336 a year less, but they keep paying when it is empty.

Standard rental−£20 · £40,917 in

Guaranteed council rent−£48 · £40,917 in

Housing-benefit rent−£263 · £40,917 in

Each row: money kept a month, then the cash it ties up. Not compared: Rent by the room (only 1 bedroom) · Do it up, then remortgage (pays back at the remortgage) · Short-stay let (no local short-let data) · Buy, improve & sell (pays out on sale)

◧ 3 ways, one measureranked on money kept each month, at the asking price

What would you walk away with?The five-year sums

−£5,054 after five years on the cash you put in, before tax on the sale

Less than the same cash would have made in a savings account, after tax on the interest. The savings account’s capital is not at risk; the property’s is. A fall of about 26% in the price would leave nothing from a sale after selling costs, and you would still owe the lender any shortfall. That is the £40,917 you put in. The 5-year fix runs past this 5-year hold, so the rate reset comes after it.

◧ 2.0%/yr growth assumed