Hey investors—whether you’re a landlord scaling up, a first-time buyer seeking value, or anyone chasing high-yield deals—this is your chance to grab a property below market value! Today’s Property Shot of the Day is a spacious 3-bedroom, 1-bathroom terraced house on Rowley Street, Blyth (NE24), listed on Rightmove since July 2023 at £72,500. With no upper chain, a rear yard, and a current tenancy at £550 pcm, this freehold gem offers immediate cashflow and huge potential for savvy investors. We’re Mike Bells Property Sourcing, here to spark your investment fire—verify availability, conduct full due diligence (surveys, title, tenancy details), and always run your own calculations before submitting an offer. Based on comps, an estimated offer of £65,000-£68,000 could secure BMV (aim 7-10% below asking to account for refurb—do your own calcs and submit at your risk). Check out our video for more North East BMV tips: https://youtu.be/IywTdYKncqY.
View the full listing here: https://www.rightmove.co.uk/properties/126080807#/?channel=RES_BUY
Area Analysis: Blyth’s NE24 in 2025 Rowley Street is in central Blyth, close to shops, schools, and transport links (A189 to Newcastle, 20 mins). The economy thrives on retail, logistics (Port of Blyth), and regen projects boosting jobs. Property market: NE24 prices averaged £145k, up 5% YoY (Rightmove, September 2025), with 3-bed terraces selling £80k-£100k (comps: £85k nearby per Zoopla, September 2025). This £72,500 ask is potentially BMV by 10-15%. Rents for 3-beds: £600-£800 pcm (Zoopla, avg £650, up 7.2% YoY, September 2025). Yields 9-11%, voids 5-7% due to worker demand. Savills forecasts 5-6% growth through 2029.
Market Insights: Blyth’s NE24 Appeal NE24 offers 9-11% yields, rents £600-£800 for 3-beds (Zoopla). Prices up 5% YoY, 5-6% forecast (Savills). Low voids (5-7%) with commuter/tenant demand. Regeneration (below) fuels 6-8% growth, perfect for investors seeking high-ROI assets.
Refurb Estimate: Full Refurb Given EPC D and likely dated interiors (common in tenanted properties), assume a full refurb to maximize yields: £20,000-£30,000 (kitchen £8k, bathroom £5k, rewiring/plumbing £5k, decor/flooring £7k, per Checkatrade, September 2025). Post-refurb value: £90,000-£100,000 (aligned with NE24 comps). Refurb boosts rent to £700-£800 pcm, increasing yield.
Strategy Deep Dive: Full Breakdown for Each Approach Assume purchase at estimated offer £65,000 (do your own calcs). Full refurb £25k. Total outlay: £65k + £3k fees + £25k refurb = £93k. 75% LTV mortgage (£48,750 loan at 4.8%, monthly £238). Expenses: Voids/maintenance 5% (£480/year), insurance £300, management £96 (12%). Assume 25% deposit, 4.8% mortgage, 5% voids/maintenance.
- Buy Refurbish Refinance (BRR): Full refurb (£25k). Post-value: £95k (15% uplift). Outlay: £93k (£23,250 deposit). Rent: £750 pcm. Cashflow: £750 – £238 mortgage – £126 costs = £386/month. Yield: 13.8% (£9k / £65k). ROI: 20% (net £4,632 / £23,250 post-tax at 40%). ROCE: 5%. Break-even: 4 months. Risks: Refurb overruns; growth supports equity pull-out.
- Buy to Let (BTL): Current tenancy (£550 pcm) or re-let post-refurb (£750). Outlay: £68k (£17k deposit, no refurb). Rent: £550. Cashflow: £550 – £238 mortgage – £100 costs = £212/month. Yield: 10.2% (£6,600 / £65k). ROI/ROCE: 15% (net £2,544 / £17k post-tax). Hands-off for investors.
- Houses in Multiple Occupation (HMO): Viable—3 beds, 1 bath. Refurb: £30k-£40k (£15k fire/plumbing). Rent: £350/room x3 = £1,050. Yield: 19.4%. ROI: 25% (net £5,760 / £23k). Licensing £500-£1k. High management but strong returns.
- Single Lets to Professionals: Rent £750 post-refurb. Yield: 13.8%. ROI: 20%. Low voids (5%).
- Student Lets: Uni 20 mins. Rent £600. Yield: 11.1%. ROI: 15%.
- Single Lets to Tenants on Benefits: Rent £550 (LHA). Yield: 10.2%. ROI: 14%.
- Holiday Lets: Less ideal—coastal but not prime. Refurb £10k. Nightly £80 (40% = £11k annual). Yield: 16.9%. ROI: 20%.
- Commercial Property: No.
- Rent-to-Rent: Rent £500, sublet £750. Profit: £3k/year. Yield: 30%+.
- Lease Options: Fee £3k, lease £450. ROI: 35%+.
Tax Efficiency for Investors
- Deduct refurb (£25k), interest (£2,856/year), management (£1,152). Offset 40% tax bracket, saving £3,203/year. Use ECO4 grants (£1k-£5k) for energy upgrades (e.g., EPC D to C). Case: A landlord bought a similar NE24 terrace—18% ROI post-refurb, HMO setup.
Numbers That Matter: Financial Deep Dive (HMO Example) Outlay: £65,000 + £3,000 fees + £25k refurb = £93,000 (25% deposit £23,250). Monthly Cashflow: £1,050 rent – £238 mortgage – £150 costs = £662. Gross Yield: 19.4% (£12,600 / £65k). ROI: 25% (Net £5,760 / £23k post-tax at 40%). ROCE: 6.2%. Break-even: 3 months.
5-Year Outlook: Forecast Table 5.5% growth, 4% rents (Savills/Zoopla). Base/best/worst: 5.5%/7%/3%.
| Year | Value (Base) | Annual Rent | Yield | Cumulative Cashflow |
|---|---|---|---|---|
| 2025 | £68,638 | £12,600 | 19.4% | £5,760 |
| 2026 | £72,412 | £13,104 | 20.2% | £11,880 |
| 2027 | £76,395 | £13,628 | 21.0% | £18,360 |
| 2028 | £80,596 | £14,173 | 21.8% | £25,200 |
| 2029 | £85,029 | £14,740 | 22.7% | £32,400 |
| Total Gain | +£20,529 | – | – | +£32,400 |
Long-Term Area Developments (Next 10 Years) Northumberland’s regen: 1) Blyth Energy Central (2025-2035)—£90m, 1,000 jobs, boosts tenant demand, rents up 4-6%. 2) Port of Blyth expansion (2025-2030)—logistics jobs lift values 6-8%. 3) A189 upgrades (2026-2032)—cuts voids to 4%. Impact: 7-9% YoY growth, yields 12-15% by 2035. Risks: New builds cap prices. Per council plans.
Hook: Want to pocket £5k+ yearly from a £65k buy? This Blyth terrace is your BMV ticket to HMO riches! This property is an investor’s dream—high HMO yields, low entry cost. Mike Bells sources BMV deals like this to earn your trust—partner with us to build your portfolio!
Ready to turn investments like this into portfolio growth? Schedule a free 30-minute strategy call with Mike Bells now—discover how we can help you secure high-yield deals and scale faster. Spots are limited, so book today! If you’re looking for properties with this kind of returns, fill the form below to get started. If you’re looking to sell your property quickly and hassle-free, we’re here to make it happen—fill out the form below for a no-obligation quote.
This content is provided by Mike Bells Property Sourcing for informational and educational purposes only and does not constitute personalized financial, investment, or legal advice. We make no representations or warranties of any kind, express or implied, regarding the accuracy, completeness, or suitability of this information. Past performance is not indicative of future results, and all investments involve risk, including the potential loss of principal. Mike Bells accepts no liability for any losses or damages arising from reliance on this material. Always conduct your own thorough due diligence, consult independent financial advisors, and verify details before making investment decisions.