BTL in Peterlee

Not to be missed! A new BTL off-market opportunity for your review.

The figures below are based on current market conditions, rental demand and comparable sales within the local area over the last 12 months. All costs have been included to reflect a realistic taxable income position. As always, property should be viewed as a long-term investment, offering steady cash flow and long-term capital growth rather than short-term gains.

This deal offers a low entry price, established long-term tenancy and strong rental yield, making it an attractive hands-off investment opportunity for investors seeking stable monthly income.

Key Property Details
• 2 bed terraced house – Horden, Peterlee
• 71m2
• Mid-terrace property
• In good condition throughout
• Tenant in situ
• Tenant has been at the property for 10 years with no void periods
• Tenant intends to remain at the property long term
• Established residential location
• EPC rating E with potential to improve to C
• Estimated EPC upgrade costs (not immediate): £4,000 – £6,000
• Estimated GDV: £55,000

Key Financials
Example BTL mortgage: 75% LTV, 5% interest-only
• Purchase price: £45,000
• Approx. 10% BMV
• Purchase costs: £7,100
• Purchase costs include sourcing fee (£3,000), legal fees (£1,500), insurance (£350) and SDLT (£2,250)
• Total investment required: £23,800
• Gross monthly rent: £500 PCM
• Gross annual rent: £6,000 PA
• Mortgage payment: approximately £175 PCM
• Management fees: 10% (£50 PCM)
• Monthly NET income after management fees: £275
• Annual NET income: £3,300
• ROCE: 25%
• Gross yield: 11%

Mortgage Assumptions
• 75% LTV BTL mortgage
• 5% interest-only product
• Approximate monthly mortgage payment: £175 PCM
• Gross Rent Mortgage Coverage: 286%
• Net Rent Mortgage Coverage: 157%

Equity Uplift Position
• Estimated GDV after modernisation: £55,000
• Estimated money left in deal after refinance at 75% LTV: approximately £21,350
• Potential bridge-to-BTL strategy — modernise lightly and refinance at full market value

Complete Investment Support Package
With Sourced, you have access to a complete property investment support package in one place.

This includes:
• Sourced Enterprise – full limited company SPV setup and accounting support
• Sourced Finance – access to specialist lending options not usually available on the high street
• Sourced Living – fully compliant lettings and property management service
• Legal support – conveyancing team available if required
• Renovation support – experienced refurbishment team ready to assist with works where needed