We all dream of a property flip and dread a flop. This little Enfield flat has seen them both, is it time for another?
We all dream of a great flip – buying a property, doing it up (or not) and selling for a handsome profit.
At the same time we all dread a flop - buying a property, doing it up (or not) and selling for a crushing loss.
This two bedroom flat in Lansbury Road Enfield EN3 has seen it all, and I think it now deserves a little TLC and for someone to call it home. Here's a bit of background….
I first spotted this flat in February in the Savills aution catalogue where it was listed with a guide price of just £95,000. I was amazed, there had to be a catch, surely you couldn’t pick up a 2 bed for under £100,000?
Of course there was a catch, see my earlier article for details – Lansbury Road February 2018 And of course it went for more than the guide price, much more in fact - £161,000. Wow!! Now that is way more than I’d expected and at that price was it still a great deal?
Well no, at £161,000 while still giving a gross yield of 5.3%, for me this wasn't great deal and wouldn’t justify paying cash and the amount of time and effort required to turn it around.
But…….. then it appeared for auction again. ‘Has it been done up and transformed into a stunning extended flat with three bedrooms and lots of shiny surfaces?’ I wondered. No it hadn't, in fact nothing had changed.
If you check out the video I created – Lansbury Road June 2018 you’ll see that I couldn’t see how the seller expected to make a profit, but at a lower price it could still be a good idea and……… ooh wait a minute was there another flat in the same road that could be a good deal for very different reasons? (Check the video for more information)
Later in June 2018
Well unsurprisingly the flat didn’t sell at auction and is now available at £145,000. That’s a much more attractive price and worth serious consideration but I’d still like to see it drop a bit lower. At £135,000 I’d definitely be interested.
So is it a flip or a flop?
Well the flop is obvious, bought at auction in February for £161,000 and up for sale at £145,000 four months later, that’s a minimum £16,000 flop.
And where’s the flip? Well the flip happened earlier, bought in December 2017 for £133,000 and sold for £161,000 just two months later. That’s a pretty healthy £28,000 flip.
Is there another twist in the tail to come?
I can’t wait to find out. So if you’re interested in this flat please contact Savills but remember to do your due diligence, check the legal pack and seek the advice of relevant professionals. After all it may be more than just the figures that are causing the current owner to sell.