Property Investment Help – Spotting Undervalued Properties

September 23, 2013 by

Spotting Undervalued Properties 2

If you are looking to invest in a property and want to ensure that the investment pays off, then it would be useful if you were able to spot properties which have been undervalued. This article will explain some of the aspects to look out for which will enable you to know when a property has been undervalued and will therefore save you money. When looking at a property that may be under valued, there are numerous things to consider. One is to not go purely on the look of the property. If it is really clean and tidy and could be moved in straight away, that does not necessarily mean that it is undervalued. The property may still need the same amount of work done on it as it would need for a property that is slightly more run down. So if you say a property that you know is worth a lot more than the general asking price, you could go straight in with an offer of the asking price or even a bit more. This will ensure that you obtain the property but you know after carrying out the required work, you could easily make a substantial profit. Read the full article below ….

Spotting Undervalued PropertiesLet me ask you a question.

Let’s say there are two identical houses, one has been lived in by an old lady who has kept it clean and tidy, it looks immaculate and you could live there if you needed to. The property is generally old-fashioned, all the ceilings have tiles and both bathroom and kitchen were replaced in the early 1980s. It has central heating installed and has hardwood and aluminium double glazing.

The second one has been neglected; it needs everything doing including kitchen and bathroom, all the ceilings have fallen in and it looks a complete mess. It has no heating or double glazing. [Original Source: here ]

 

 

Filed Under: Investors Club Tagged With: ,

Property Investment Help – Offer less than you want to pay

September 23, 2013 by

Offer less than you want to pay

If you are looking to invest in a property and want to ensure that the investment pays off, then you should make the first offer less than you are willing to pay. By putting in your first offer at 10% less, it enables room for you to be able to negotiate a lower price that you would be willing to pay and in turn save you a bit of money on your investment. If you offer the full asking price or a figure close to the asking price, it is more likely that you may end up paying more than you may have or possibly not be able to agree on a price for the property. But by offering a figure that is around 10% less than what you would be willing to pay initially, you could still increase the initial offer and the seller would still think that they have received a good deal for themselves. Read the full report below ….

Offer less than you want to pay

I have mentioned this rule many times so far, it’s a reflex for me now, I don’t even think about it.

This came from my training as an estate agent; they trained me to start high with our fees so the vendor feels they have won something. One day I thought ‘Will this work the other way round?’ so I decided to try it.

I went to see a young couple who were splitting up, they had been let down by a previous buyer and were very keen to get a deal done. The agent gave me some information and said they were looking for £85k; it was on for £95k. The negotiating process I take you through in this book is very powerful; also this rule forms part of the stages of that process. [Original Source: here ]

 

Filed Under: Investors Club Tagged With: ,

Property Investment Help – Adding value to a property

September 13, 2013 by

adding value to your property

In order to make a property investment scheme successful there are a number of different aspects that you need to take into account. Here we will discuss some of the different ways you can add market value to your property so you are able to receive more for it in the future. When looking for a property to purchase, a point you can consider is to look at a slightly less expensive property and evaluate whether work can be carried out to enhance its market value. This could be from simply refurbishing the home or by creating an extra room from building work. If this is feasible, then you will be able to greatly increase the value of the home and therefore have a more valuable asset available to you if you wish to sell it on to make a profit. Read the full report below ….

Adding Value to a Property

 

adding value Another way we have benefited from dealing is to spot properties where you can add value. Some of the best ones have  been properties where very few alterations are needed, small changes in layout, also extensions, corner-sited, conversion-potential  building plots.

When searching the net over a period of several weeks I noticed a studio flat. Now I have a phobia with studios as, when the market is  poor, they don’t sell well and lenders get very nervous about them. I thought I would view this one as it was a little expensive but the  market was strong at the time. But it had not sold over a period of months and also it was a period studio. I called the agent and asked if  he knew when it was converted or how long the lease was (this would give me an indication as to how long was left on the lease). It had  a 79-year lease so it was probably converted 20 years previously. I felt it was worth a view as some of the older conversions were very                                                    poorly laid-out, they were done on the cheap.

Filed Under: Investors Club Tagged With: ,

Property Investment Help – Ignore the asking price

September 13, 2013 by

Ignore the asking price

In order to make a property investment scheme successful there are a number of different aspects that you need to take into account. Here we will discuss how the asking price is not always an accurate representation of how much you should be paying for the property. The initial asking price that is given is purely a rough figure of the property that is more often than not never met. So when you are considering to purchase a particular property, make sure you make your first offer well below the asking price. Also, during the negotiation process make sure you are firm with what you are willing to spend and do not budge from that figure. If you show signs of willingness to pay a bit more, then you are likely to pay a bigger figure then you would like and lose money long term. Read the full report below ….

Ignore the Asking Price

 

property investment This rule has made me many hundreds of thousands of pounds and it’s something I think many investors find hard to do. I know that an  asking price influences people’s decisions as they see it as the true value. Well it’s not, and please remember it’s an asking or starting  price; it’s not where you start, it’s where you end up that’s important.

 I remember a time when I was speaking to an agent and he mentioned a property that he was having a few problems with;  the property had been kicked out on survey three times because of a structural crack. The vendor had it on the market for £210k. I was  very interested by this as it had all the hallmarks of a deal. I went to view it and the cracking was slight and what I would have called  ‘non-progressive’ as they say in the trade; in other words, it was not going anywhere. [Original Source: here ]

Filed Under: Property Buyer Tagged With: ,