Introduction: Why Property Flip Analysis Matters More Than Ever

When we stepped away from contracting and committed fully to property, analysing a deal stopped being theoretical.

If a flip stacks — we get paid.
If it doesn’t — we don’t.

Property flip analysis in the UK isn’t just about spotting a “cheap” house. It’s about protecting capital, securing margin, and ensuring speed. Because in a competitive market, the investor who analyses fastest often wins.

Today, we’ll break down exactly how we analyse a property flip step-by-step — and how using Property Assistant saves us 10–15 hours per week by stacking deals automatically in the background.

Step 1: Start With the End — The GDV (Gross Development Value)

Every flip begins at the end.

We don’t start with the asking price.
We start with the GDV — what the property will realistically sell for once fully refurbished.

How We Estimate GDV

We use:

• Comparable sold prices (not asking prices)
• Similar property type and size
• Same street or immediate area
• Sales within the last 3–6 months
• Adjustments for condition and finish

Example:

3-bed terrace in Blackburn
Recently refurbished comparables selling at:
£150,000 – £155,000

We would conservatively estimate GDV at:

£150,000

Not the highest. The safest.

Overestimating GDV is the fastest way to destroy a flip.

Step 2: Work Backwards From GDV

This is where most new investors get it wrong.

They negotiate first.
We reverse-engineer first.

Our Flip Formula

Maximum Purchase Price =
GDV
– Refurb Costs
– Buying Costs
– Selling Costs
– Finance Costs
– Target Profit


We always include a target profit of 20% of GDV.

Why?

Because we’re building a business — not doing projects for fun.

Step 3: Break Down All Costs Properly

Here’s how we calculate property flip profit in practice.

Example Deal

GDV: £150,000

Now deduct:

Refurb Costs

Light–medium refurb: £25,000

Buying Costs

• Stamp duty
• Legal fees
• Survey
  Approx: £5,000

Selling Costs

• Estate agent (1.2%)
• Legal
  Approx: £3,000

Finance Costs

Bridging / cost of capital: £7,000

Target Profit (20% of GDV)

20% of £150,000 = £30,000

Total Costs:

£25,000

• £5,000
• £3,000
• £7,000
• £30,000
  = £70,000

Maximum Purchase Price:

£150,000 – £70,000 =

£80,000

If we can’t buy it at or below £80,000 — we walk away.

That discipline protects us.

Step 4: Using Property Assistant to Stack Deals Automatically

Manually doing this analysis takes time.

Before Property Assistant, we were spending hours:

• Pulling comparables
• Building spreadsheets
• Rechecking stamp duty
• Reworking profit margins
• Stress testing

Now, Property Assistant stacks deals automatically in the background.

When a property hits our criteria:

• GDV is estimated
• Costs are modelled
• Profit margin is calculated
• Maximum offer is suggested
• ROI is displayed instantly

We still do our own due diligence.

But instead of spending 2 hours per property, we spend 10–15 minutes validating the numbers.

That saves us 10–15 hours per week.

And in flipping, speed matters.

Step 5: Rapid Due Diligence = Earlier Viewings, Earlier Offers

Here’s the real advantage.

Because analysis is pre-stacked:

• We can book viewings sooner
• We can attend with numbers in mind
• We can make offers same-day
• We negotiate from confidence

Most investors are still “running the numbers” after viewing.

We already know:

• Our maximum purchase price
• Our buffer
• Our profit
• Our exit

That puts us ahead.

Step 6: Stress Testing the Deal

Property flip analysis in the UK must include downside protection.

We stress test:

• What if GDV is 5% lower?
• What if refurb overruns by 10%?
• What if sale takes 3 months longer?
• What if the market softens?

If profit drops below our minimum threshold — we don’t proceed.

Remember:

Investors care about capital security first. Return second

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So do we.

Step 7: Why We Target 20% Profit on Flips

Some investors work on 10–15%.

We don’t.

Because:

• Delays happen
• Markets shift
• Refurbs overrun
• Buyers renegotiate

20% gives us margin for reality.

And right now, as we build FAA Property full-time, flips are our cashflow engine

The Property Journey — Core Con…

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They provide liquidity.
They replace income.
They fund future BRR opportunities.

What This Means for Investors

When we structure projects offering 10% returns, it’s not guesswork

The Property Journey — Core Con…

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Behind every deal:

• 20% target profit buffer
• Full cost modelling
• Conservative GDV
• Stress testing scenarios
• Defined exit strategy

Our process is designed to protect downside first.

The return is built into the margin — not dependent on optimism.

The Biggest Mistake in Property Flip Analysis

The biggest mistake?

Falling in love with a property before analysing it.

We don’t ask:

“Can we make this work?”

We ask:

“Do the numbers make this safe?”

If they don’t — we walk.

That discipline is what allows a property business to scale.

Final Thoughts: The Deal Is Made in the Analysis

Property flip analysis in the UK isn’t complicated.

It’s structured.

Start with GDV.
Work backwards.
Include real profit.
Stress test.
Move fast.

Using Property Assistant gives us speed — but discipline protects us.

In property, you don’t make money when you sell.

You make money when you buy correctly.

And if the numbers don’t protect us?

We don’t buy.

Call to Action

If you’re looking for structured, property-backed 10% returns and want to understand how we analyse and protect each project, get in touch to discuss upcoming opportunities.

Or follow The Property Journey as we build FAA Property full-time  transparently and in real time.

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