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Typical Renovations
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Join The Adventure Undertaking ecomonic activity in partnership, can help investors gain equity and revenue in a slick sophisticated way. By teaming up with a company that demonstrates a great business model, investors can feel peace of mind knowing the money they have invested has a goal of which the company is aiming towards also. By partnering a company who have all the credentials, investors can feel security knowing that their money is invested to achieve a final goal that both parties are seeking, by knowing that there is equity and revenue at the end of the project. The serious cash-flow in property is in the volume wholesale of great quality, high yield-based Buy-To-Let properties. By partnering a company in this venture investors can see fantastic ROI's. In summary:-
Our Chosen Joint Venture Opportunity The Joint Venture strategy is a collaborative sale of properties that achieve over 15% geared yields and provide rental cover of 150%+ of the mortgage payment. It is low-risk lending for the banks, and safe investing for wealthy individuals looking for alternatives to under-performing stocks, shares, and pension funds. The deal is a 50/50 split, investors are given a complete "armchair" investment and all the leg work is carried out by our client. Together you buy discounted houses matched against specific criteria that will allow you to increase the yield by repackaging the property as a multi-let property servicing a local university. Along with the increase in price due to the top standard renovation process, the business model repeatedly adds value which is then capitalised with an investor sale. Both parties then arrange the pre-sale of the properties as a collaborative effort. Our affiliates operate in 16 cities across the UK, and have teams of property buyers, tradesmen, admin staff and lettings managers. Their Lettings team successfully manage hundreds of properties and this figure is growing week by week. The group has an established track record in delivering successful, often highly specialised projects. The Joint Venture strategy has been designed to be a cash-rich, deliverable partnership and it is also a volume deal. Liquid partners only need to enquire. How it works:- The JV strategy is a buy-to-sell, sustainable business model that is supported by adding value within the deal itself. property is bought at a discount, so the profit is in the deal from day one, and the top standard renovation genuinely increases the value of the property. Both elements are then capitalised via an open market value investor sale based on yield. There are two major drivers to the deal. Firstly, positioning strategically to achieve a good initial purchase discount from the open market valuation. A buy-to-let mortgage is arranged for the purchase price, and a 25% deposit is put into the initial purchase. The property is then renovated, and value is added to the property through things like creating an extra bedroom, adding extra bathrooms/en-suites, replacing heating systems, and creating off-street parking. Each deal is different so the specific works will vary, as will the cost. Once finished, you would expect to see an up-lift in the value of the property in the region of around 10-15%. Example deal:-
The end investor gets a great asset that is fully modernised in a great location and, often, with pre-lets arranged before they take ownership of the property. The properties are sourced within walking distance from a university, but invariably also let to key workers from local facilities such as hospitals, schools and ministry buildings. It’s a professional, repeatable strategy that doesn’t rely on capital growth in order to achieve returns on investment. The end investor gets a great asset and you, the CBS Merchant, shares in exceptional cash-flow. Please fill out the contact form below for more information:-
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