LION. I do not know Southgate and have not seen your flat,which sounds lovely.Why,it's even got windows.However,I have to say that your timescale of 2 years seems a little ambitious.You say that you don't expect prices to fall significantly in your area,but they would have to rise in order for you to profit,unless you bought well BMV.
If you are so confidant that there will be no significant drop then what attracted you to this site?
Good luck with your plan.
I know Southgate very well and prices are falling across the board. It has a tube and good schools which will stop prices falling drastically (as opposed to supposedly up-coming places like Hackney which have no such infrastructure and is my tip for 40% drops...)
I suspect that LION is just trying to make himself feel better about buying at the top of the market and certainly he'll have saved a few quid buying a place in need of work - but to expect to walk away with a profit in 2 years is very optimistic! We could be approaching the trough in the market by then - not the best time to sell.