FLIP deal of the day - you could make yourself £200k in Surbiton!

So, I normally do buy to let deals of the day for one obvious reason - I'm first and foremost a letting agent and so I hope that all of you go out there, buy investment properties and ask me to lovingly look after them for you! ;o)

I came across this one today though which has just come onto the market and would make a great flip (buy, refurb, sell) and I couldn't resist telling you about it....

Its a classic 3 bed semi in Surbiton (well, Berrylands to be more exact). Set on a lovely wide tree-lined road half a mile from the station and near to schools. Location, tick! The best thing is that it's in an absolutely shocking state and so will immediately put off the faint-hearted - but that's not you is it?!! Not, I hope, when you realise how much money you can make on it! 

Its on the market at a 'guide price' of £450k. You could therefore get lucky and get it for more like £425k - that's what I'd be pushing for. Now normally, for the rental market, I'd say to just do a quick and easy refurb but I actually think if you did you'd be missing a trick here and an opportunity to really add value. I'd do the full works - loft extension and a big back extension to create the huge open plan living space that families now crave. You need to have plenty of cash as the works will probably cost you in the region of £150k done to a top spec - that'll include all the building work, new kitchen and 2 new bathrooms as you should be able to add one in the loft with a new bedroom. 

So, whats the end sale price? Well, scouting around Rightmove, there are a couple of similar examples in the area that are at the top end and they're on for £775k so that looks achievable or thereabouts. Jeepers!! So thats a total of £425k purchase + £150k refurb which makes £575k costs with potentially a £200k profit minus costs! Now yes, that is best case scenario, but even if you go worst it would be at least half that and I'd still take £100k for 6 months work wouldn't you?!!!

     

http://www.rightmove.co.uk/property-for-sale/property-33926292.html

Now one thing to bear in mind is that this may not be mortgagable in its current state as it doesn't seem to have a working kitchen. You therefore either need deep pockets to start with or know someone who does and do it with them. Their money, your time, split the profits. BOOM! :o)

If you have any burning questions about the local property market or are simply looking at ways to make money from it then I'm happy to lend an ear and help where I can. Just drop me an email to rebecca@rebeccasmithpropertyservices.co.uk. Love to hear from you.

Have a great weekend!

Rebecca Smith
http://www.rebeccasmithpropertyservices.co.uk/