UK deal sourcing glossary

Finding a property that matches an investor’s criteria, checking that the numbers work, and agreeing a price and terms so the investor can buy it. It is industry language, not a legal term; HMRC’s anti-money laundering guidance treats property sourcing as estate agency business.

Source: Anti-money laundering guidance for estate agency businesses (AMLG2200) (opens in a new tab) (HMRC, GOV.UK)

See also: Estate agency work

Turning a property deal into a proposition an investor can check and act on: every cost including stamp duty, evidence for the end value and rent, the risks and exits, and the fee terms, set out in a deal pack. HMRC’s guidance lists deal packaging alongside property sourcing.

Source: Anti-money laundering guidance for estate agency businesses (AMLG2200) (opens in a new tab) (HMRC, GOV.UK)

See also: Deal packaging software

The document a sourcer or deal packager sends investors to present an opportunity: the property, the numbers, the evidence and the terms. Dealist builds it as a PDF from your analysis, with sections you switch on or off.

See also: Property deal pack template, What Goes in a Property Deal Pack? A Section-by-Section Checklist

The fee a sourcer charges for a deal. Dealist shows it as its own line and adds it to the Total Project Cost. If your work is estate agency work, your fee, when it becomes payable and any other payments must reach your client in writing before they are committed.

Sources: Estate Agents Act 1979, section 18: information to clients of prospective liabilities (opens in a new tab) (legislation.gov.uk); The Estate Agents (Provision of Information) Regulations 1991 (opens in a new tab) (legislation.gov.uk)

See also: Property Sourcing Fees: What to Charge and How to Disclose Them

Under section 1 of the Estate Agents Act 1979: things done in the course of a business, on a client’s instructions to buy or sell an interest in land, to introduce someone who wants to sell or buy, or after that to secure the sale or purchase. Exclusions apply.

Source: Estate Agents Act 1979, section 1: estate agency work (opens in a new tab) (legislation.gov.uk)

See also: The UK Deal Sourcing Compliance Checklist (2026)

HMRC’s guidance says a business doing estate agency work as defined in section 1 of the Estate Agents Act 1979 must register with HMRC for money laundering supervision before it starts, and that trading without registration is a criminal offence. Some businesses are exempt.

Source: Money laundering supervision for estate agency businesses (opens in a new tab) (HMRC, GOV.UK)

See also: The UK Deal Sourcing Compliance Checklist (2026)

A scheme that handles complaints a customer cannot resolve with an agent directly. GOV.UK says estate agents dealing with residential property in the UK, and letting agents and property managers in England or Wales, must join one: The Property Ombudsman or the Property Redress Scheme.

Source: Registering with a redress scheme as a property agent (opens in a new tab) (GOV.UK)

See also: The UK Deal Sourcing Compliance Checklist (2026)

A scheme that compensates landlords and tenants if an agent cannot repay their money. GOV.UK says letting and property management agents in England’s private rented sector who hold clients’ money must join one; Wales and Scotland have their own rules.

Source: Protecting clients’ money if you’re a property agent (opens in a new tab) (GOV.UK)

A fee paid to the Information Commissioner’s Office. Under the Data Protection (Charges and Information) Regulations 2018, organisations, including sole traders, that use personal information must pay it unless they are exempt.

Source: Data protection fee (opens in a new tab) (Information Commissioner’s Office)

See also: The UK Deal Sourcing Compliance Checklist (2026)

Under section 227 of the Digital Markets, Competition and Consumers Act 2024, information the average consumer needs to take an informed transactional decision; leaving it out is a misleading omission. For an invitation to purchase, section 230 lists more, including the main characteristics, the total price and the trader’s identity.

Sources: Digital Markets, Competition and Consumers Act 2024, section 227: misleading omissions (opens in a new tab) (legislation.gov.uk); Digital Markets, Competition and Consumers Act 2024, section 230: omission of material information from an invitation to purchase (opens in a new tab) (legislation.gov.uk)

See also: The UK Deal Sourcing Compliance Checklist (2026)

Under section 21 of the Financial Services and Markets Act 2000, a business must not communicate an invitation or inducement to engage in investment activity unless it is authorised or the content is approved by an authorised person with FCA permission to approve promotions. Exemptions exist.

Source: Financial Services and Markets Act 2000, section 21: restrictions on financial promotion (opens in a new tab) (legislation.gov.uk)

Under section 235 of the Financial Services and Markets Act 2000, arrangements letting people share profits or income from property without day-to-day control of its management, where contributions and profits are pooled or the property is managed as a whole. Exclusions apply. Ask a solicitor whether a deal is one.

Source: Financial Services and Markets Act 2000, section 235: collective investment schemes (opens in a new tab) (legislation.gov.uk)

The tax on buying property or land over a certain price in England and Northern Ireland. GOV.UK says the return must be sent and the tax paid within 14 days of completion.

Source: Stamp Duty Land Tax: overview, returns and payment (opens in a new tab) (HMRC, GOV.UK)

See also: Stamp Duty Calculator (SDLT)

Higher SDLT rates that GOV.UK says apply when you buy a residential property for £40,000 or more that will not be the only one worth £40,000 or more you own anywhere in the world, and you have not sold or given away your previous main home, among other conditions.

Source: Higher rates of Stamp Duty Land Tax (opens in a new tab) (HMRC, GOV.UK)

See also: Stamp Duty Calculator (SDLT)

Since 1 April 2021, non-UK residents buying residential property in England or Northern Ireland usually pay SDLT at rates 2 percentage points higher than UK residents. GOV.UK says the surcharge applies on top of all other residential rates, including the higher rates for additional dwellings.

Sources: Rates of Stamp Duty Land Tax for non-UK residents (opens in a new tab) (HMRC, GOV.UK); Higher rates of Stamp Duty Land Tax (opens in a new tab) (HMRC, GOV.UK)

See also: Stamp Duty Calculator (SDLT)

Scotland’s tax on residential and commercial land and buildings transactions. Revenue Scotland says it replaced Stamp Duty Land Tax in Scotland from 1 April 2015.

Source: Land and Buildings Transaction Tax (opens in a new tab) (Revenue Scotland)

See also: LBTT + ADS Calculator (Scotland)

An additional charge added to any LBTT due. Revenue Scotland says it usually applies when you buy a residential property in Scotland for £40,000 or more and already own residential property anywhere in the world, unless you are replacing your only or main residence, and to most purchases by companies.

Source: The Additional Dwelling Supplement (ADS) (opens in a new tab) (Revenue Scotland)

See also: LBTT + ADS Calculator (Scotland)

The tax you may pay when you buy or lease property or land in Wales. It replaced Stamp Duty Land Tax in Wales from 1 April 2018, and the Welsh Revenue Authority collects and manages it for the Welsh Government.

Source: Land Transaction Tax: overview (opens in a new tab) (Welsh Revenue Authority, GOV.WALES)

See also: LTT Higher Rates Calculator (Wales)

Higher LTT rates that the Welsh Revenue Authority says you will usually pay when you buy a residential property worth £40,000 or more and already own one or more other properties. Companies pay them on residential purchases of £40,000 or more, with an exception for some leases.

Source: Higher rates of Land Transaction Tax: overview (opens in a new tab) (Welsh Revenue Authority, GOV.WALES)

See also: LTT Higher Rates Calculator (Wales)

In England and Wales, GOV.UK describes an HMO as a property rented out by at least 3 people, not from 1 household, who share facilities such as the bathroom or kitchen. A large HMO is rented to 5 or more people forming more than 1 household, among other conditions.

Source: House in multiple occupation licence (opens in a new tab) (GOV.UK)

See also: HMO Yield Calculator

A direction under article 4 of the General Permitted Development Order that lets a local planning authority or the Secretary of State withdraw specified permitted development rights across a defined area, so that development needs a planning application. This is the planning guidance for England.

Source: When is permission required? (planning practice guidance, including Article 4 directions) (opens in a new tab) (MHCLG, GOV.UK)

See also: HMO Yield Calculator

A certificate that GOV.UK says rates a property’s energy efficiency from A (best) to G (worst) and is valid for 10 years. You must have one when you sell or rent out a property, ordered before you market it.

Source: Energy Performance Certificates (buying or selling your home) (opens in a new tab) (GOV.UK)

Under the MEES Regulations, which apply in England and Wales, landlords cannot let, or continue to let, a domestic property the regulations cover if its EPC rating is below E, unless an exemption applies.

Source: Domestic private rented property: minimum energy efficiency standard, landlord guidance (opens in a new tab) (GOV.UK)

HM Land Registry’s record of residential property sales in England and Wales that are sold for value and lodged for registration. It is released monthly, and the two most recent months are incomplete.

Source: About the Price Paid Data (opens in a new tab) (HM Land Registry, GOV.UK)

An index that captures changes in the value of residential properties, produced jointly by HM Land Registry, the ONS, Registers of Scotland and Land and Property Services Northern Ireland with a hedonic regression model, and published monthly.

Source: About the UK House Price Index (opens in a new tab) (HM Land Registry, GOV.UK)

Sales of similar nearby properties that evidence an end value. Dealist’s pack lists recent sales from HM Land Registry Price Paid Data where it can find them, restated with the UK House Price Index where possible. It does not adjust for condition or size.

See also: Property deal pack template

Buying a property, refurbishing it and selling it. Dealist works out the net profit as the sale price less the Total Project Cost and the selling agent’s fee.

See also: Flip Profit Calculator

Buying a property to let it out. Dealist shows its Monthly Cash Flow, gross and net yield and Cash-on-Cash Return.

See also: Buy to Let Calculator

Buy, refurbish, refinance, and usually rent and repeat. Dealist sizes the refinance as the end value times the refinance loan to value, then reports the money left in, the equity retained and the Return on Money Left In.

See also: BRR Calculator, BRR Deal Walkthrough: Stacking a Refurb-to-Refinance Deal Line by Line

Letting a property by the night. Dealist works out monthly revenue as the nightly rate times 30.44 nights times occupancy, then takes off costs including platform fees and cleaning.

See also: Serviced Accommodation Calculator

The value of the property once the works are done. In Dealist it is the end value you enter: the sale price for a flip and the value a BRR refinance is based on.

See also: Flip Profit Calculator, BRR Calculator

The loan as a percentage of the property’s value. Dealist sizes a purchase mortgage as the price times the LTV, and a BRR refinance as the end value times the LTV.

See also: BRR Calculator

Price, stamp duty, legal and other costs, sourcing fee, works and any mortgage product fee, plus the licence for an HMO and, for a flip or a BRR, finance and holding costs up to the sale or refinance.

See also: BRR Calculator

The Total Project Cost less the purchase loan. For a BRR with an end value, the pack shows the money left in after the refinance instead.

See also: Buy to Let Calculator

For a flip or a BRR bought with a bridging loan or mortgage: the interest over the months to the sale or refinance, plus any arrangement and exit fees. Dealist adds them to the Total Project Cost.

See also: Flip Profit Calculator

For a flip or a BRR: the monthly holding costs you enter, such as utilities, council tax and insurance, times the months to the sale or refinance. Dealist adds them to the Total Project Cost.

See also: Flip Profit Calculator

Rent less interest-only mortgage interest, management, maintenance, a void allowance and insurance. For an HMO Dealist also takes off the bills you pay, and for serviced accommodation the bills, platform fees and cleaning.

See also: Buy to Let Calculator

A year’s rent divided by the purchase price.

See also: Buy to Let Calculator

A year’s rent less a year’s running costs, divided by the purchase price. Dealist includes mortgage interest in the running costs; check how any figure you compare it with was worked out.

See also: Buy to Let Calculator

A year’s cash flow divided by the Cash Required. For a BRR with an end value, the cash in the deal is the money left in, so the pack calls it Return on Money Left In.

See also: Buy to Let Calculator

For a BRR, the Total Project Cost less the refinance loan. When the refinance covers the whole cost, Dealist shows nothing left in.

See also: BRR Calculator

A BRR’s yearly cash flow after the refinance divided by the money left in. With nothing left in, the analyser and the calculator show the return as Infinite while the deal still makes money each month, and N/A when it does not.

See also: BRR Calculator

For a BRR, the end value less the refinance loan: the equity that stays in the property.

See also: BRR Calculator

In a flip’s pack, the net profit divided by the Total Project Cost. The flip calculator also shows the return on the Cash Required and the profit on GDV.

See also: Flip Profit Calculator

In a pack for any strategy other than a flip, the profit if the property were sold at the end value instead: the sale price less the Total Project Cost and the selling agent’s fee. A flip’s pack calls it Potential Profit.

See also: BRR Calculator

The mortgage interest rate at which a rental deal’s Monthly Cash Flow reaches zero, everything else unchanged. Dealist’s rate stress test shows it beside the cash flow at the assumed rate and at 1 and 2 percentage points higher.

See also: Buy to Let Calculator

For serviced accommodation, the occupancy at which bookings cover the costs: the mortgage, insurance and bills stay fixed, while management, maintenance, platform fees and cleaning move with bookings. The void allowance is left out of this figure.

See also: Serviced Accommodation Calculator