Hi,

Hope you are well...another cold week, hopefully Spring will be with us soon..!

Many people we speak to are looking for passive incomes, and strong positive cashflow - well below are a couple of deals that can provide this very well! Both between 15-25% below current market values and both giving a gross yield of around 9%!

With some of the new lending criteria, one of the most effective models for buying as an investor is buying well below market value, putting your 25% deposit in with a mortgage product with no tie ins, gaining a strong cashflow - and then in 6 months time having the option to refinance and take the majority of your funds out or keep on existing mortgage and enjoy a very strong cashflow - often of over £200 a month!

Let's look at one of the deals we have secured where this works very well:

3 bed repossession secured in Glasgow - expected value in 6 months time - £87,000.

Purchase Price now - £67500

25% Deposit £16875

Legals £800

Survey £350

Sourcing fee £2500 + VAT

Mortgage - £50,625

BM SOLUTIONS 2YR Tracker at 4.6% £194pcm (no tie in)

Can choose to re-Mortgage in 6 Months time at £87,000

75% of new valuation is £65,250

£14,625 of equity can be released from the property – so only leave around £5000 of buying costs in the property and have an excellent value, high yielding deal!

Let's look at how good the Cashflow will be:

Mortgage cost is now £271 pcm

Rental Figure - £495 pm for a private tenant.

LHA rate is £595 pcm

So your Monthly Cashflow/Income if refinance in 6 months time

Rent - £495-595

Mortgage - £271

Management - £58 (10% + VAT)

Factoring & Insurance - £20

£145-245 positive monthly cashflow after all costs if refinance in 6 months!

If do not refinance, and just keep more equity in the property, your cashflow can be a massive £225-325 a month – and you will have around £37,000 of equity for a total investment of around £20,000!

This is an excellent opportunity to pick up an undervalue property with high cashflow!

For the full investment pack, download here Exclusive New Deal in Glasgow

We have a very strong team in Scotland, with 10 years buying experience there ourselves, we have an excellent team of property lawyers, brokers and managing agents.

Property 2 - a 4 bed house in Sunderland at just £75,000 that will rent for £700 a month - and our in house managing agent can arrange this - giving over £300 a month positive cashflow!

To download the full investment pack, go to Exclusive New Deal in Sunderland

Remember we can manage any of the properties we source in the NE and Scotland, providing you with a very low hassle investment!

I expect both these properties to be snapped up quickly, have a look at the full investment packs, and email us or call one of our Portfolio Managers on 0115 9853969  who will be happy to help with any questions you have!

If you are interested in new property deals but the above doesn't quite fit the bill, enter your full details here with the location and type of property that you would be interested in and when we source it, you'll be the first to know!

Best Regards

Alan Forsyth