Real Estate

Five useful tips for real estate investment from the BMV

Posted by admin

With the UK property market in decline, and with a known lack of housing in many regions of the country, below market value property investors have an opportunity on their hands. If you’re one of them and have the cash, you can buy properties cheaply now and sell them once the housing market stabilizes for a hefty profit.

Of course, that is easier said than done. Investing in a BMV property is never easy if you don’t know how to do it. Here are some helpful tips that will hopefully help you make an investment you won’t regret later on.

• Trust your intuition when evaluating the value of a property
One of the real estate investment challenges of the BMV is to evaluate the real value of a property. Without a good approximation of this value, you can’t really know if you’re buying below market value or not. The price of a property for sale, especially in these times, is not its real value. To be sure, assess the local market, see what other similar properties are selling for, and then trust your intuition to make the right decision.

• It is easier to buy BMV if you already have the money
There are many small investors who first have to sell a property before investing in a new one. This is not a lucky scenario, as many sellers offering BMV prices right now want to get rid of their properties immediately, and therefore are looking for buyers willing to pay the purchase price on the spot. Asking an attractively priced seller to wait for you to sell a property before buying yours means, at best, a higher selling price as a result of the delay, and at worst, , a simple negative.

• Be reasonable with your price
You can make a good investment by buying 20% ​​to 25% cheaper than market value. Even 15% is lucrative if you don’t have to pay huge fees. Expecting more than 25% is not realistic, even in these times when the real estate market is falling. You can get much more than 25%, some astute investors get 50%, but if you expect to buy all the properties available for sale at half price, you are kidding yourself.

• Invest with a partner more easily than with a real estate agency
When it comes to real estate investment below market value, it is preferable to work with a partner than with real estate experts to find properties to buy. While real estate agencies are not bad, they always put their own interests first and you will rarely get the best deals through them.

• Be prepared to take some risks
All investments carry some degree of risk and the real estate investments of the BMV are no exception. While it is true that they are safer in Britain at the moment than in other parts of Europe, they are not entirely risk-free. Trust your intuition and be careful.

A real estate investment below market value can generate a significant profit relatively quickly, especially these days. If you decide to invest, carefully compare investment opportunities and you won’t regret your investment later.

Leave A Comment