The property. A three-bed semi, freehold and empty, about 76 sq m (819 sq ft), at McHugh & Co's online auction on 21 October 2026. It's dated throughout, with an EPC of E. The bathroom is downstairs: a shower room and separate WC, with no bathroom upstairs. Intended use: refurbish, refinance and let as a buy-to-let.
The model at £71,500, our maximum bid.
Modelled, not verified. All four figures come from the Sourced deal calculator (Disa appraisal, 6 October 2026), before tax. Works £30,000 including 10% contingency; value after works £195,000.
Built on assumptions. The £195,000 value is our estimate from sold prices, not a valuation. The works are estimated from the listing photos, before a viewing. The bridge and mortgage terms aren't broker-quoted yet, and the price isn't known until the auction.
Where your money goes, and when.
At completion
£28,727: the deposit on an 85% bridging loan, stamp duty and fees. Our sourcing fee is counted in the money you put in.
During the works
A further £34,312 over about six months, so £63,039 in total. The works budget is £30,000 all in, including a 10% contingency.
At refinance
A 75% buy-to-let mortgage on an unverified £195,000 value (£146,250) repays the bridge and returns £85,475. That is £22,436 more than the £63,039 that went in. It does not remove valuation, borrowing or cash-flow risk.
What you keep
Modelled equity of £48,750, and rent of £1,150 a month, at the low end for local three-bed semis. After interest and running costs, that leaves £108 a month before tax.
Every month, once let
The monthly margin is thin.
| Scenario, after refinance | Net a month, before tax |
|---|---|
| Base: rent £1,150, mortgage at 5.5% | £108 |
| Rent 10% lower | £25 |
| Mortgage rate 6.5% | −£14 |
It breaks even at a 6.4% rate. If the house were valued 20% under £195,000 and refinanced at 75%, £6,814 would stay in the deal. These stress tests are worked from the calculator's inputs; the calculator does not run them itself, so they still need independent checking.
We check before you bid.
- 1
The viewing
We view the house and price the works properly.
- 2
The legal pack
We read the title, the special conditions and any extra fees.
- 3
The lending
A broker confirms the bridge and refinance terms, and how the lender will value it at refinance.
- 4
Your ceiling
We agree a maximum bid with you. On our figures, that's no more than £71,500.
- 5
Auction day
Online, 21 October. Before then we check the auction conditions; the legal pack sets the deposit and the completion date.
What could change the numbers.
- The price isn't known yet. £50,000 is the auction guide, not a result. £71,500 is our maximum bid.
- Works are an estimate. They come from the listing photos, before a viewing, survey or priced quote.
- The value is an estimate. £195,000 comes from sold prices. It is not a RICS or lender valuation.
- The lender decides the cash out. Its valuation and the loan-to-value it offers at refinance could materially change the cash returned.
- Bridge terms aren't quoted. We assume 85% at 0.85% a month for six months, with the interest retained by the lender. It may fall due at completion rather than during the works.
- The legal pack hasn't been reviewed. Nor have the special conditions or any extra auction fees.
- Cash flow is tight. At a 6.5% mortgage rate the model runs at a loss each month.
- Before tax. Net figures are before tax. Capital is at risk.
What the figures rest on.
Auction listing Agent-stated
McHugh & Co's listing for the 21 October online auction: guide £50,000, freehold, about 76 sq m (819 sq ft), EPC E, photos and floor plan. The photos are undated, so we check the condition at a viewing.
Sold prices Recorded sales
Twenty three-bed semis within about a quarter of a mile have sold since November 2023, at a median of £204,000. Number 3 on the same road sold for £208,500 in August 2024. The selection still needs an independent check.
Deal calculator Modelled
The Sourced deal calculator behind every figure on this page (Disa appraisal, 6 October 2026). Ask for a copy below.
Photos and floor plan from the auction listing (McHugh & Co).
What we have, and what's still to come.
Still outstanding: the full legal pack, title and any restrictions, special conditions and fees; a viewing and survey; quoted works; bridge and refinance lender terms; rent evidence; and the actual purchase price and valuation. Disa is collecting these. Items marked Coming soon will appear here, on this same link.