R2RSA in Dagenham

Sourced are pleased to present another brilliant opportunity to take on a 4-bed house for R2RSA in Dagenham, East London. The property is in a brilliant contractor location and benefits from parking and a garden.

The unit will comfortably be able to sleep up to 10 guests. The total rent payable for the unit is £2,700 which does not include bills. The financial figures provided also allow for management costs and OTAs and the profit is net after all costs.

The unit is available on a 3-year contract. This investment will be fully managed by our managing agent, making it as hands-off as possible for you. We'll also get you set up on our online platform so you have full visibility of bookings/revenue. The management fee is 14% + VAT of net revenue. This includes full management covering everything from check-ins, check-outs, cleaning and maintenance.

You can pay for the furniture and set-up in cash which will be approximately £5-6k (subject to formal quotation). Alternatively, you can utilise a different form of funding you have access to such as a credit card, bank loan or asset finance.

Pictures, location details and a detailed financial breakdown are available on request.

Sourcing fee of £4,250 inc. VAT applies.

The Financials
▪ Rent: £2,700
▪ Ongoing monthly costs (including approx. bills): £473
▪ Average nightly rate: £306
▪ Revenue at 70% occupancy: £6,516
▪ Revenue at 85% occupancy: £7,912

▪ Deposit: £2,700
▪ Sourcing fee: £4,250
▪ Furniture, Interior Design, Soft Furnishings & Set-up Costs: £5,000
▪ Total Upfront Cash Required: £11,950

▪ Monthly profit at 70%: £1,532
▪ Annual profit at 70%: £18,386
▪ Profit over 3 years at 70% (assuming no increase in nightly rates): £55,158

▪ Monthly profit at 85%: £2,540
▪ Annual profit at 85%: £30,485
▪ Profit over 3 years at 85% (assuming no increase in nightly rates): £91,455

▪ ROCE over 1 year at 70%: 154%
▪ ROCE over 3 years at 70% (assuming no increase in nightly rates): 462%
▪ Months till profit: 8