Some Useful Web Sites to Help with Due Diligence

Some Useful Web Sites to Help with Due Diligence
If you want to become an expert on buying UK properties below market value, you need to know several things:
• What properties are worth
• How much they rent for
• How much ones have sold for locally?
It is also ideal if you know the area and you can go and visit. It’s good to have a sense of how desirable and how easily rentable a place is. Also, you need to consider what transport links are like, whether there is access to shops, schools, nightlife – all depending on the type of property, of course. Is the finish right for the type of person who might be interested in letting that type of property? There isn’t much point in having a fabulous school near a good bachelor pad or good night-life within walking distance or a short cab ride away from a good family home. All of this is called due diligence and must be done.
Even though it’s harder to get a mortgage right now, it’s still more demanding finding the right tenants that it is just buying the place. Getting the location right can make it easier to rent to the type of tenant you want and thus avoid problems including voids.
There are several web sites which can help you with this

David Phillips Furniture Packs

David Phillips provide furniture for landlords. They provide a next day service. There is no minimum order size or value. All furniture is assembled for you. They will even dispose of old furniture for you.
We used them to furnish a house that was not selling or letting. We had completely refurbished the house, including putting in a new kitchen and bathroom and replacing the kitchen floor. We had installed a new central heating boiler. The garden had been relandscaped. However, we were constantly told that the smallest bedroom was too small, that you wouldn’t be able to even get a single bed in it. That, we knew, was nonsense. My parents used to keep bunk beds in there.
The lady who had organised the refurb suggested we furnish it. She pointed out that unfurnished spaces can often look smaller than furnished ones. She liaised with David Phillips. The furniture was delivered and assembled by midday. A table had to go back because it had a crack. It was the people who delivered the furniture who noticed that, not ourselves. It was replaced the next day.
The house, which already looked very good, now looked even better. We uploaded photos to the estate agent’s site. Two days later we had three good offers on the property.

Buying at Auction

Buying at auction can be tricky. You have to complete in a very short amount of time. Also, you must, of course have the property fully surveyed. That might be a loss. The result of the survey might tell you not to touch the property. Or, of course, someone else at the auction might pip you to the post. You have to also remain very strong-willed and not bid over the limit you have set yourself.
However, if all of that still gives you a positive go ahead signal, buying at auction can be extremely lucrative.
A company that helps is Auction Finance. They cane set up a loan before, during or after the auction. 80% loan to value is still the most common way of lending but in certain circumstances they will loan 100%. They do do buy-to-let and they will consider almost any property. They pride themselves in fast completions. They have no restrictions on the size or location of your property portfolio. They can also offer development finance, land finance and bridging finance, both open and closed.
Well worth a look!

Properties in France

Leap Frog is a company that is offering properties 100% financed with guaranteed rentals. The properties are reasonably priced. They are well worth a look. That particular development is in the Pas de Calais region, a short distance form Berck and Le Touquet. You get to use the apartment several times a year yourself and it is affiliated with other developments in other parts of France, so you can use those too and their facilities, such as swimming pools.
Apart from that, they really have some interesting properties at very fair prices, both new build and resale.
Some of the resales are extremely interesting. There is a beautiful detached villa with swimming pool in the Languedoc-Roussillon area, going for just over €1,000,000. A smaller property, needing some work, in the same area is going for a mere €297,970.
For the investor, their buy and lease back is definitely the ticket. It doesn’t stop you being able to send time in your property if you wish.
Their site is fully searchable and you can look for properties in any area in France.
They also offer help with the rather complex business of buying in France.
The people I met at the Property Investor show were very approachable and easy-going, I imagine a pleasure to work with. A thoroughly interesting company.

The Buy-to-Let Business- Buy-to-Let Packagers

One problem that often occurs when one is buying BMV is that the surveyor, clever chap or chapess that he or she is, decides that the price you are willing to pay is the actual amount the property is worth, whereas in fact you are relying on what you are buying being at least 18% below market value.
There are some companies appearing now who package the whole deal and are most likely to find a surveyor who is sympathetic to what you are doing. Of course, nothing is guaranteed. But there is more chance of getting a deal by using one of these firms.
Some of these companies, also, will take a hefty percentage on the bridging loan and the mortgage deal. Not so The Buy to Let Business. Their aim is to complete everything as quickly and as easily as possible and at minimum cost to the investor. They have a solid programme of training for their agetns which keeps them all on the ball.
Another snag can be that a company can be just as unrealistic as some of the wannabe landlords / property investors, and can lead to inexpereinced landlords not generating enough cash flow. I have a very strong feeling that this particular company will act with integrity. I base that decision on having met two of them at last week’s Homebuyer and Property Investor Show. Let’s hope I’m right.

Poperty Investor Show London March 2008

hThere were a lot of the same ideas around this year. However, some new ones include finance for auction and possibly this might suit the property I have seen in The Royal. This is the flat which is not finished off yet. It has two massive bedrooms, a very big lounge, and a roof terrace and because of the way it is, one can find one’s own bathroom and kitchen. Of course, it’s difficult to buy a house in that state with a mortgage. The same goes for auction properties.
Another new concept was the E-home. These are homes with work spaces attached. The work and living space is very carefully divided. The units are also in very pleasant surroundings yet only ten minutes walk into town.
I’ve made contact with some mortgage packagers. They find the bridging finance, the remortgage and instruct the survey with trusted companies, which leads to more success.
I’m now looking at buying land through a company which does the due diligence for you. You can buy individual plots. You can sell them on after two years.
I’m looking at some new concepts in hotel rooms, where you get a pro rata 75% share of the hotel’s profit. The rooms come with their own pool each. You can have some usage during the year.
It was a good show, with some quite exciting possibilities.

Spanish NIE Numbers

This is a number you have to have if you are purchasing a property in Spain. It identifies you and makes you liable for tax. The usual proceedure s to first go an queue at the local Police stain – local to where you’re buying in Spain, that is. Then you have your passport copied and authorised. Then comes the four week wait.
However, in quite a civilized way now, you can get it in ten working days – wihtout even having to let go of your passport.
This seem excellent. We’re applying for my husband’s. We’ll let you know. Watch this