FAQ

Ultimately we take the grunt work and hassle out of investing in property. Most people who would like to invest in property don’t know where to start – where to buy, what a good investment looks like, whether to buy new build or pre-occupied etc. – or if they do, quickly become overwhelmed by the sheer volume of information and conflicting opinions about it all…resulting in diminished confidence that they’re making the best decision possible, often opting to do nothing ‘for the time being’….a cycle which can go on for years, ultimately taking you further away from your future financial goals. Unlike real estate agents who represent sellers, we work to source the best properties in the best areas to negotiate the best deal for investors like you. We research rental yields and growth potential – and once you have purchased the property we manage the rental aspect of it, covering void periods and the cost of maintenance so you don’t have to!

Your property resale has to be handled by your solicitor. The funds for purchase or sale do not pass through our bank accounts. You pay to us the sourcing fee 2% or  £3,600to find the property/properties as a vendor or an investors

Yes, we charge a fee of£3,600 (+VAT) or 2% per property you purchase. It is important that you talk to a mortgage broker in advance and qualify your ability to raise a 75% Buy To Let mortgage. We would suggest that this is done before the property search begins so that we are confident in knowing the finances will be secured at the time an offer is made. Equally, we suggest that advice is taken from an accountant on the best way to structure the purchase, many clients will look to purchase under a company name which has tax advantages. We work closely with mortgage brokers and tax specialists that can offer independent advice.

Yes, you and the property you intend to purchase must qualify for a 75% Buy-to-Let mortgage. The leveraging effect of buying a property with a mortgage means you make a greater rental and capital growth return. We look for properties that offer high yields so that the rental income is significantly

higher than the mortgage repayments – allowing you to make money off the borrowed money as well as the money you’ve invested. The interest rates vary depending on the product you pick.

We work closely with mortgage brokers and tax specialists that specialise in property investment who can help you structure the purchase in the most efficient way. We are a member of the property ombudsman serviceand follow all the regulatory requirements. We ensure that:
– Tenants deposits are registered with a government backed tenancy deposit scheme
– Tenants are provided with Gas Safety Certificates
– Rents are received into segregated client accounts
– EPC’s (Energy Performance Certificates
– Smoke and Carbon Monoxide alarms
– Tenants have the right to reside in UK

Yes, of course! In fact, we’d urge you to get a valuation. Why?

As an investor you should always have a good understanding of the property you’re looking to buy and the prices across the local market. Doing so can help you accurately predict your yield and invest with confidence.

There’s no hiding that investment property comes with a risk, as there is with all investments. However, if you ask us, property is one of the safest investments you can make, especially if it’s BMV. By buying Belowthe market value, your potential yield increases which in itself reduces the risks.

Give us a call to discuss your requirements and we’ll grant you membership to our investors database. Members get exclusive access to our latest BMV property deals and as well as our advice on everything BMV.

Basic Membership is FREE, so there’s no excuse not to get started today

Your answer to this is determined by two factors: potential yield and your current situation.

For first time investors, location will likely be a major factor. As will finding a property with development potential where valued can be added. Maybe a quick flip opportunity, or their first ‘Refurbish, Rent, Refinance’ deal. Having such a property close to where you live is generally a good rule of thumb, especially if you’ll be doing the work yourself or letting it privately.

Whereas, those more experienced investors typically favour yield over locality and invest in commercial premises as well as residential.

If you’re struggling to work out where you should invest, get in touch! We’ll happily give you the benefit of our industry knowledge and help you find some locations that suit you.

Like with all investments, how much money you put forth depends on you and your situation? Although if you opt for a BMV property, it’s likely you can reduce this cost. Thus allowing you to invest at a faster pace and build your all-important cash flow.

NOTE: We’d always suggest you have a few thousand pounds extra in savings before investing. You can’t go wrong with a safety net.

Yes – it’s always the right time to be investing in property. Reason being that while property prices do fluctuate from month to month, the overall trend of the UK property market is up. What’s more, as the country’s population increases so does the demand for housing. One of the reasons why property investment is such a hot topic!

There are LOTS of benefits to property investment, especially when you go BMV.

For starters, you can add value to your property to generate equity. This could be through DIY, resolving a sticky freehold issue or adding extra square footage to up the value. Do so for less than the value you add and when you come to sell, you should make a tidy profit.

Then of course if your property is a second home, you have the option of letting it out – another great way to grow your yield. To show you just how profitable rentals are, jump into the example below…

You buy a house for £75,000 and decide to rent it out. Rents in the area are roughly 750 PCM but let’s say you’re after a quick tenancy and haggled down to £700 PCM (£8400 per year). You’ll still achieve a yield of 11.2%, which means the property could pay for itself in less than 10 years!

And then of course you can’t forget capital appreciation. It’s common knowledge that the housing market trends upwards so as well as a rental income you could also have a pleasant surprise when you decide to sell up. Don’t just take our word for it – house prices have risen 38.5% in the last 10 years according to Property Data. This would make your £75,000 purchase worth over £103,000! And even if you didn’t want to sell, you could withdraw this equity through a refinance deal and expand your portfolio even further.

While property is for the most part a far better place to put your money than the bank – a 10% yield beats 0.5% savings rate – as with any strategy there are some risks. So, before you start dabbling in BMV property, we urge you to take these into account. Here’s 3 to consider…

Property prices fluctuate

While in the long term, property prices do increase, in the short term the market can duck and dive. Therefore, if you’re looking at a short term property investment, this may be something to assess in finer detail.

Unoccupied periods

The whole point of renting a property is to generate equity and cash flow. Although, when the property is empty for a certain period of time (maybe you’re in between tenants), any associated expenses will be on your shoulders. Something worth bearing in mind when selecting your property and when you’re managing it.

Maintenance

In order to let your BMV property out, or even flip it, you’ll have to keep up with the maintenance while you own it. If you’re looking to flip this may be less so of an issue, but still may end up costing you. If you were to rent your property, this would be why picking a good set of tenants is crucial.

Tenants who’ll inflict less wear and tear on your property, mean you’ll have to spend less of your time and money doing odd jobs. For instance, if your tenant is a family who are in for most of the day, then you’d expect general wear and tear to be far greater than if your tenant was businessman who was only home during an evening.

You’ve already found the answer… here!

At The Property Sourcing Company we deal with properties that are all available for Below the Market Value. We source these ourselves through our sister company, which just so happens to be one of the UK’s largest homebuyers.

If you’re after BMV property in a specific area, of a certain size, that’s geared towards a specific investment strategy, then do let us know. We’d love to partner up and be your property sourcer.

BMV stands for Below Market Value, and is a term commonly associated with property investment. BMV property is arguably the most desirable form of property, at least from an investor’s perspective. Reason being that properties below the market often come with a higher yield and thus make for a better ROI.

This all depends on where you invest, which is why we always advise you do your research before putting your cash on the table. Some areas return a high yield for certain types of property. Others favour buy to let over property flips. Some are the reverse. And some work well both ways.

That being said, a good yield would be in the region of 6-7%.

Buy a BMV property through us and you’ll have a wide selection to choose from. Our properties come in all shapes, sizes, areas, so the chances we’ll have something that meets your needs is actually pretty high. We can provide you with properties with potential to flip or buy to let, as well as commercial premises and HMOs located close to Universities!

To get up to speed on the properties we have available at the moment, get in touch – we’re only a phone call away.

We send out our deals to our mailing list every Tuesday at 11am. You can join our mailing list for free with no commitment by clicking the button at the bottom of the page.

Yes, We have just launched our VIP members list, Which you are welcome to join. There is a small fee of £24.99 per month which will gain you access to the deals 2 hours before non VIP members. We will be sending out the deals to those on the VIP List at 9am on Tuesday’s.​ You are also entitled to a discount of 10% on all finders fee’s whilst you are on the VIP members list.

We don’t work for free, Do you? We put a lot of time and effort into finding great investment’s. Typically we may look at 40 houses which will filter down to just a few properties that match our investment criteria.

We have an extensive viewing inspection form we use when we view property, all our sourcer’s have had considerable training on viewing properties. We will always carry out a full inspection however there will be occasions when we simply cannot access certain area on the property such as under the floor boards, lofts etc. If an issue arises at the point of survey which will require expensive repairs then we will liaise with the investor to assess the cost’s, work involved and the return on investment after the cost’s of repair. If the investor does not wish to proceed we will then work with them to find a suitable replacement. Please bear in mind survey report’s can be a little daunting to the untrained eye. For example a recent survey came back which stated the chimney stack needed extensive repair’s. When we got a builder to quote for a repair the price was just £270. So we always recommend having a quote for the repair’s before withdrawing from the property.

In simple terms, No. We will not release the property address, estate agent details, pictures etc until a fee has been paid. This is company policy to protect our invested time in sourcing the property. If you pay the fee and the property is not as we have described then you will be entitled to a refund.

You are not going to be living there, this is an investment and you as an investor should be more concerned about the numbers not the appearance or location of the property. You might not want to live there but your tenant’s are used to living in the location so for them it’s home from home. We invest using numbers and formulas and leave our feeling’s out of it. A true investor doesn’t care what the property looks like. They care about Return on Investment. Sometimes the most profitable properties are the ugliest!

We have done our due diligence on all of the properties we pass, We will only pass a property that our director’s would personally buy. However this is an investment and investments have risks. You should understand that rental income is not guaranteed and we are not liable whatsoever on future earnings and values. As with any investment there are risks you must assess before committing. We will provide you with as much information as we can prior to your decision.

No, as an investor you should be familiar with the process of buying a property. Please speak with a broker prior to reserving any properties to establish if you are mortgage worthy and to what level you may borrow. If you reserve a property then pull out we are then out of pocket and have an unhappy vendor who has trusted us to provide a quick and sometimes time critical sale. We can provide you with details of the mortgage brokers we recommend.

I am text block. Click edit button to change this text. Lorem ipsum dolor sit amet, consectetur adipiscing elit. Ut elit tellus, luctus nec ullamcorper mattis, pulvinar dapibus leo.

Yes we have a great working relationship with various furnishing companies and will pass these details to any of our clients.

No problem, we can assist with the whole process and you can if you want not even visit the property. Our whole idea is “Easy investing for the Busy Professional” we have many clients who simply reserve a property and then watch on from a distance; we deal with everything on their behalf. Please discuss with us if this option suits your investment plans.

Please call and discuss you exact requirements, in this case we will set up a sourcing agreement. You will be charged a retainer fee and we will then credit this back via a reduced finder’s fee. You will be added to our VIP Investor’s list and will have full access to every property we find that meet’s you criteria before we send to any of our list’s.

Please call the office and we can discuss a day rate for us to send one of our sourcer’s with you on your viewing day. They will assess each property as they would when sourcing for Better Sourced Ltd. This is a great way to get a qualified second opinion and ensure you are buying a great investment.

If you have not found the answer above please email info@globalhousingsolution.com with your questionsand we will get back to you within 24hrs.