Buying Property Without having to Spend A Single Penny of Your Own Money on Fees!! Part 4

Learn how to assess its value:
· What are the sold prices of properties within the last 3 – 6 months within the same
postcode?
· What is the market trend in that area since the last property was sold?
· Is their an over saturation of this type of property in the area which may drive down
price?
· What figure can you give to the additional special features your property may have!
· Is the property in question in a fantastic or poor condition in regards to what has sold
recently in the area?
· Is there a demand for this type of property in the area!
Remember this will take practice because your assessment of a properties value will only be
validated when a RICS surveyor visits the property and confirms the value you believed!
All of the above must be done before you even see the property in question. If you become an
expert at doing this you will save yourself time and money and make the evaluation process
simple when you actually visit the property in question!
4. Secure Your deal!
Remember one of the most important factors allowing you to buy without putting any money
into the deal will rely on the type of BMV (below market value) discount your receive in the
deal from the vendor. With this said when you actually find a fantastic BMV deal you must
have the tools to secure the deal. This is vital, You do not wish to fall into the habit of trying to
purchase a property from a vendor who is hesitant or deep down doesn’t want to sell their
home to you because take it from me, I have learnt from experience that your deal will only
end in disappointment and end up falling through!
The tool You require to secure your deals must be in the form of legally binding
documentation! This must state the agreed sale price between you and the vendor and must
be signed by all parties. This documentation will also include a time frame you will complete
on the property purchase. This will often serve as a psychological tool to reinforcing your
commitment to the vendor that you will guarantee to buy their property!
With this said you must understand that you have to display a confidence and professionalism
to build a rapport with the vendor. This relationship will allow the vendor to trust and respect
your ability to Buy their property and solve their immediate situation. Only when you have built
this rapport will a vendor be willing to sign a legally binding contract to sell their property to
you for a price less than the property is worth!
5. Always Complete!
If you understand all of the above you must always complete on your deals!
You will have sourced specialist help who allowed you to move quick and decisively. You will
have done all your diligence and will be certain of its value. You will know that the property
you are buying is Below Market Value and you will be getting a real deal if you purchase it at
the agreed price between you and the vendor!
FREE REPORT – “A Guide to Buying Property whilst making hundreds of thousands of
pounds without having to spend a single penny in fees!”
9
The Secret!
The key to buying property without paying any fees whilst making money in the process is to
understand the difference between what something is worth and what you pay for it.
The secret is in the understanding and the ability to raise finance for your property purchase
against what its value is and not what you pay for it!
The Secret Revealed!
Let’s use a real example:
‘John’ has recently lost his job and is consequently in mortgage arrears after missing 6
months of mortgage payments. He has been threatened with repossession by his lender if he
cannot pay his arrears plus his next mortgage payment promptly. He needs to sought out his
situation fast!
He owns a 2 bed mid terrace property in Leeds which is worth £100,000
John has a £53,000 mortgage plus £6,000 in interest and fees!
You have been made aware of his situation by a family friend and have approached john,
offering to buy his property fast to stop his repossession!
After doing your own diligence on the property you agree his property is worth 100k. You
make him a cash offer of 80k for his property which you raise, in cash, using creative finance.
John accepts this offer and is thoroughly happy with the offer! That amount will allow him to
clear his arrears and move on with his life with £27,000 in cash in his pocket!
You do the deal and now own his property, but here’s the trick, you now need to repay the
creative finance you borrowed to buy the property.
Now pay intention!…..
You will now have to get a mortgage, in this case, as a first time buyer, you get an 85% loan
to value (ltv), on the value of your property i.e. £100,000
This means you will be borrowed £85,000 for a property which only cost you £80,000 to
purchase!
Leaving you with:
a) Your first creatively financed property that you can either live in or rent out for a
healthy £550 pcm
b) A vendor ‘John’ who is extremely happy at how quick and professionally you dealt
with him.
c) £5,000 in cash returned to you in from your specialist solicitors. Of which you will pay
approximately £2,000 in legal fees and finance fees allowing you to pocket £3,000
cash!
d) Instant £15,000 in equity from the 15% deposit covered from the creative finance
facility used to cover your mortgage deposit.
(Hopefully at this point you have a big smile on your face!….)

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