Buying a distressed property can be a very attractive proposition to property investors as this type of properties are usually sold way below market value.
Depending on the circumstances in which the property is sold, distressed properties can make excellent Buy To Let investments and the possibility to add value to this type of property is considerable.
There are many different types of Distressed properties. We have listed the most common ones below. Each one has one common denominator being that the seller is extremely motivated to sell and therefore will offer a generous discount on the property in exchange for a quick sale.
Reasons for selling a distressed property:
Financial: This is the most common reason. The owner of the property might be under financial strain and prefers to sell the property quickly rather than missing mortgage payments and ending up facing repossession.
Separation or Divorce: When a couple separates, their home is often put up for sale and often both parties are keen to sell the property quickly for financial and emotional reason. They are therefore happy to accept a lower offer on their property for a quicker sale.
Death in the family: When a home owner passes away, the property is then passed on to their family who might wish to put the property up for sale straight away. Often in these cases, the family wishes to sell the property quickly in order to divide the assets. Therefore, the family is happy to accept a lower offer on the property in exchange for a quick sale.
Relocation: In some cases, people might need to relocate to a different part of the country or even abroad very quickly. They might have another job opportunity somewhere else for example and need to sell their property quickly before they leave.
Properties that need work: The condition of a property is often the reason owners decide to sell the property at a reduced price. The property might need updating or structural work but the owner might not be able to carry out the work due to ill health for example or financial reason. In these types of cases, owners are happy to accept a reduced price for their property.
How to find Distressed Properties:
The Empire Property Group can offer you a choice of Distressed properties with discounts starting from 20% of their actual market value.
We offer genuine discount on all our properties and we carry out all the due diligence on your behalf saving you precious time and ultimately money. We can organise funding for you through our recommended mortgage brokers and we also work very closely with reputable firms of solicitors specializing in Buy to Let purchases. All our properties have high rental yield ( currently averaging 12%), Instant equity and real potential for capital growth. To receive details of our latest Distressed properties, enter your details below or call us on 0208 339 6777.