Resale Distressed / Repossessed UK Property

We specialise in sourcing carefully researched and selected high income and high discount below-market-value (BMV) Distressed/Repossession properties for our clients.

This is a hands-off service for our professional clients where we carry out all the sourcing, vetting and purchase process including and refurbishment works required. Just register with us to join the mailing list for the next available distressed sale properties, pre-vetted for quality and letting income and in many cases, pre-tenanted.

Pre-Repossession, Sale and Rent-back and Pre-Auction property are now available from us at substantial discounts to market value/ original land-registry sales price. These are houses and apartments across the whole of the UK. Typical discount to current market value is 25-40% and due to them being older than 6 months to 12 months old, mortgage finance is relatively easy to obtain.

We have spent the last few months building up a reliable supply of high quality and carefully selected distressed property sales for our clients that offer excellent discounts, free equity, simpler mortgages than new build and high yields meaning in many cases these properties are cash neutral or cash positive in year one.

• Our properties offer Below Market Value (BMV) prices - typically between 25% - 40% BMV.
• We progress the entire transaction for you including the offer, finance, legals etc.
• Our distressed vendors may be:[list] Private vendors experiencing financial hardship
• Private vendors in a chain,emigrating,separating
• Distressed developers looking for a quick but confidential sale - forced by their bank
• Pre-auction repossessed property
• Property on pre repossession order lists (prior to final court order)
• Sale and rent-back property investment opportunities where the distressed homeowner wants to rent back the property (perfect tenants!)
• All of the above will typically provide a 25% to 40% discount to current market value

Typical bargain property puchase example: (true example, currently available)

• Discount: 40% BMV
• Property: Top floor, 2-bed apartment with parking and balcony
• Location: Birmingham city centre
• Reason for sale: Stock units (build complete)
• Developer list price: £179,950
• Price to investor: £107,970
• Valuation rent: £725 pcm

Based on around an 70% LTV on an interest rate of 5.69% this would make the property cash positive by £290 p.c.m (even after service charges). Thats over £3,480 per annum cash positive AND youve got a safe amount of equity within the property

This apartment is walking distance to the train station and town centre.

A typical London repossessed property was last purchased in February 2004 for £225,000. The homeowner defaulted on their payments and the lender has taken action. In some cases the property requires work and the price must reflect this. To encourage a smooth and fast sale the property is often advertised at a reduced price for quick sale.

The example (real) property above was advertised for £167,950 by the agent and following extensive research to validate the quality of the property, our offer of £152,000 was accepted.

The actual price paid by the investor was £152,000 versus £197,000 (current valuation) that is a 23% discount to open market value, for a quality property in London that requires no work.

Before offers are placed we establish the achievable rent in writing from an independent letting agent and we are typically seeing 7% to 12% gross yield compared. This ensure that not only have we sourced you a large discounted property, but it will be cash positvie by a large amount as seen by the worked examples above.

Lower risk

Buying under market value investments can be one of the most effective ways to protect yourself against investment risk, just consider:

• The market would have to drop by a significant amount for you to begin to lose money
• Properties are in excellant rental locations, meaning voids are usually minimal.
• You are not just relying on the future capital growth, but rather building upon the equity already gained on purchase.
• If you choose to sell your investment you could still sell at a price below the Open Market Value (OMV) making profit and still make the property attractive to buyers.

Do you have a very specific type of property or location you are looking for?

We offer a bespoke distressed sourcing service, ideal for our more serious professional investors. An upfront £250 + VAT sourcing fee is required which is refundable should property not be sourced within 60 days. A further 2% + VAT (of the property purchase price) would be payable once a suitable property has been sourced.

If its the bespoke service you are enquiring about start the enquiry with "Bespoke".