Diary of a UK Property Investor – www.hbfinvestments.co.uk
A third great way for property investors to source fantastic investment properties is through auction websites such as E.I.Group (EIG).
EIG lists 1000′s of investment properties available at auctions located all round the UK. It is simply impossible not to be able to use this site to pick up a bargain investment property exactly where you want to buy one!
The great thing about EIG is that you do not even have to go to the auctions to buy the properties! You can use EIG to check for properties that did not sell at auctions and put in your offers post auction. If your offer is accepted you will have the cash available to put down a 10% deposit and be in a confident position to pay the rest of the cash to complete within 28 days.
Before you pay over your 10% deposit you have to ensure that (i) if you are buying with a mortgage, that you have your ‘decision in principle’ in place already with a lender who will give you a mortgage offer within a week or two so you can complete within 28 days; (ii) you use an experienced auction solicitor and broker to ensure that the legal title is acceptable for mortgage lending and who will complete in the required timescales; and (iii) that you have had the property surveyed so it is structurally sound and in acceptable condition – you do not want any nasty surprises!
Many property investors I know use EIG to do 2 or 3 deals a month to source fantastic deals at about 35-40% discounts. AND they do all this from their armchairs!
Source: David Coughlin – HBF Investments
