Finding BMV Property Deals

Finding people who are keen to sell quickly is the key to buying BMV property (Below Market Value), which is the basis for a successful investment strategy. In the current climate, buyers hold all the aces so can get some incredible bargains.

There are companies who will find these deals for you but you will have to pay finders' fees. When you buy dicounted property through a company, they are often new build apartments. The problem with these are not only that new builds often lose value initially, you will also have to pay ground rent, not to mention the fact that apartments are managed by companies who charge exhorbitant service charges. These costs must all be factored in when calculating your budget. This is a common mistake unitiated investors make. They aren't aware of the extra costs over and above mortgage payments and letting agents' fees. so the ideal scenario is to source deals yourself to avoid these extra expenses. I would advise looking primarily for BMV houses, as these offer the best return on investment.

You need to find sellers with an urgent need, such as divorce or financial difficulties. People who have to sell quickly will not advertise through estate agents, as this can take months. Vendors who put their property on the market in the traditional way are not necessarily in a rush to sell, so can wait until they get a suitable offer.

To find these types of sellers, a good idea is to advertise in local newspapers. If you live in a particular town, you will have a better idea of property prices there. You could also make flyers and post them around your area, saying that you are in the business of buying properties and can assist people who need to sell quickly.

When they call, explain how you can help and find out their reason for needing to sell quickly. Find out all the necessary details about the property, including how much they're willing to sell for. If everything stacks up, go and meet them. This is another reason why it is sensible to focus on properties near where you live, not to mention the letting agents' fees you can potentially avoid if you do buy the property.

You do not need millions of pounds in the bank to move decisely, despite promising the vendor that you can purchase quickly. There are various strategies you can use to finance the deal quickly. This is another situation where it extremely useful to lean on the guidance of a property mentor, someone you trust who has experience in property investment. They will be able to advise you on methods of creative finance so that you are in a position to move quickly. If you have done your sums correctly, and depending on the amount of discount you managed to get on the property's market value, you can often end up making several thousand pounds - yes that's right, you can effectively get paid to own the property!