How using a property sourcing agent can save you time and money when looking for an investment property....
| Finding a property to buy, whether you are looking for a Buy-to-let to add to your portfolio or somewhere to live, can be very time-consuming and frustrating. How long can you spend trawling the internet looking and then trying to get through to estate agents to arrange a viewing at a time you can make it around your own commitments. There are many relocation organisations who generally work for companies relocating employees to new areas of the country and they take care of the search and settling in process but for any individuals looking to move or investors there is very little help available. I have recently just agreed a purchase for a client who was looking to invest in the Dover area and it really hit home how time consuming the whole process is...... |  |
Taking out the client briefing and engagement stage, the actual Property Sourcing part of the process involved a lot of time following up contacts and identifying possible properties which would be a viable investment. In this particular case we submitted offers on 4 different properties before getting one accepted and progressing the purchase.
So.....what actually took the time? Well initially it's the identification of the properties that will work for the client. As we have a lot of local contacts we are kept informed about properties before they come on to the market so that is a start but there is still the trawling of the internet to see what is available and then emailing and following up the requests to agents for more information or viewings. A lot of agents now operate "Open House" viewings which can be a while away and possibly not at a convenient time. The chance to look around a property with lots of other prospective buyers can be daunting for the uninitiated but it does generate interest and I can understand why agents favour this as it saves time and often encourages offers so as "not to lose out". It is also a benefit to the vendors as they can showcase their property once to a large audience. Nevertheless the timings of such viewings can extend the search time and be frustrating if the property is of real interest.
So.....what actually took the time? Well initially it's the identification of the properties that will work for the client. As we have a lot of local contacts we are kept informed about properties before they come on to the market so that is a start but there is still the trawling of the internet to see what is available and then emailing and following up the requests to agents for more information or viewings. A lot of agents now operate "Open House" viewings which can be a while away and possibly not at a convenient time. The chance to look around a property with lots of other prospective buyers can be daunting for the uninitiated but it does generate interest and I can understand why agents favour this as it saves time and often encourages offers so as "not to lose out". It is also a benefit to the vendors as they can showcase their property once to a large audience. Nevertheless the timings of such viewings can extend the search time and be frustrating if the property is of real interest.
 | As generally we are buying for investment, it does take the emotion out of the purchase. If you are going to live in a house then it is easier to get carried away and pay more than perhaps you wanted to as you can imagine your life there, etc, etc......For property investment we set a ceiling price and that is it. Often this means that in order to move forward with a purchase we have to make several offers and walk away before the right one comes to fruition. All of this takes time, negotiation and searching. |
If I could count how many times I've been given a false rental valuation on a property to make it seem attractive to buy to an investor then I would need to have a sit down! I know how much a property will rent for because that is what I do for a living, I know what type of tenants it would attract and can work the yield out for myself. Having been in the letting industry for nearly 10 years running my own agency this is second nature but it does worry me that if I didn't know the local market I would believe what I was being told and make a bad purchase only to find out when I tried to let it the reality of the situation!
Anyway, so back to the search - now we have found the ideal property, it all stacks up financially and is in the right area so we submit an offer. I will make sure the offer is accompanied by the full facts of my clients' circumstances and intentions so there is no ambiguity and the vendor can be appraised of the situation to allow a decision to be made. This is where more time can be lost as the agent puts the offer to their client. In the recent search we had to wait over a week with one offer before we had an answer! The local market is still busy and I think they were holding out for a better offer so the search continues whilst this goes on as we cannot stop looking. In this case the offer was declined so luckily we had continued our search. So we now have an offer accepted, the hard work has been done, we have the beginnings of our investment and the sales and purchase process begins.
Anyway, so back to the search - now we have found the ideal property, it all stacks up financially and is in the right area so we submit an offer. I will make sure the offer is accompanied by the full facts of my clients' circumstances and intentions so there is no ambiguity and the vendor can be appraised of the situation to allow a decision to be made. This is where more time can be lost as the agent puts the offer to their client. In the recent search we had to wait over a week with one offer before we had an answer! The local market is still busy and I think they were holding out for a better offer so the search continues whilst this goes on as we cannot stop looking. In this case the offer was declined so luckily we had continued our search. So we now have an offer accepted, the hard work has been done, we have the beginnings of our investment and the sales and purchase process begins.
| This particular case took two and a half months to get to this stage! We went to auction, viewed tender properties as well as ones on offer through the usual portals so it was an extensive search just to end up with an offer accepted on a 3-bed terrace! So, when you are thinking "How can a property sourcing agent help me?" maybe this helps to put the process into perspective. Consider, what is my time worth? Do I need the hassle of dealing with agents and vendors? And how much can I save by buying the right property at the right price? |  |
The process doesn't stop here for us as we will follow this sale through and our next blog will cover this. For more information, or if you have any questions about the property sourcing service we offer at Kearsney Property Services just give me a call on 01304 825153.
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