Finding the right property for your investment can be a tricky business. It’s likely that family obligations and day jobs eat up most of the hours in your day, and things are further complicated if you’re new to property investing, if much of your time goes to managing properties in your existing portfolio or if you’re looking to acquire a new flat or house in an area you’re not very familiar with.
This is where a good property sourcing service can be a real lifesaver. Basically, a service like this means someone else will do all the heavy lifting for you, and all you really need to do is sign your name on the dotted line. Want to find out more about property sourcing and whether it’s something you’d be interested in for your next property investment? Keep reading.
What a property sourcer does
Property sourcers come in many different forms. Some are individual consultants, some work in specific property sourcing businesses and others still can be found at real estate and property investment companies.
As we already mentioned, a property sourcing service means a dedicated professional will do the bulk of the work of finding a suitable property for you. They’ll scour the local property market as well as finding any good off-market deals out there in order to present you with the most promising properties for your consideration. They’ll also do all the necessary due diligence checks, negotiate and secure a good deal with the seller and get all the necessary paperwork ready for you to sign.
Of course, we always recommend that you check out that everything your property sourcer is telling you about a potential investment property seems right – don’t just take their word as gospel.
Make sure you know what they’ve taken into account when estimating your ROI and whether the deal they’ve found you is actually competitive when compared to average property prices in the area. You should also check whether their estimated rental yield for the property is in line with rents commonly advertised in the area.
As you see, while working with a property sourcer does simplify things for you quite a bit, you definitely want to check the numbers provided to you – after all, property investment means making a large financial commitment.
Is working with a property sourcer right for me?
Reading the above paragraphs might have made you wonder: “if I still need to do my research into any deal sourced for me, what’s the point?” And while many property investors do just fine finding flats and houses for their property portfolio on their own, there are many advantages to working with someone who can help you get the best possible deal for your investment property.
As we already mentioned, working with a property sourcer does save you a lot of time. While we do recommend you double-check all the information they provide you with, this takes considerably less time than finding a property, negotiating and securing a competitive price for it and getting everything ready to go with the solicitors.
Not only that, a well-connected property sourcer can help you find the right financing option for your investment or introduce you to a suitable mortgage broker as well as finding you a good property manager if you’re not interested in landlord duties yourself, making the whole process a lot simpler for you.
Your property sourcer’s experience and expertise in their local property market mean they’re likely to recognise a good deal when they come across it and negotiate the best possible price for it. Their professional contacts also mean they might be able to find properties that haven’t entered the market yet, meaning you get first dibs on quality investment properties.
Finding the right property sourcing company
Making sure you choose a knowledgeable and legitimate property professional to help you find the right property for investment is vitally important. So make sure you do your due diligence before signing anything or parting with any money.
While most people working to find investors property deals are dedicated and professional, there are always a few bad apples in the bunch, exaggerating your potential ROI and capital growth or even trying to sell you a deal that doesn’t exist.
Your potential property sourcer’s website is a good place to start. Legally, you have to list your company’s name, VAT number and address on your website, so make sure you can find these easily. It’s also good to check whether they’re a member of a property ombudsman organisation – either TPO or PRS. And of course, check any reviews and testimonials you can find online about them.
Finally, whether or not the property sourcer you’re considering charges an upfront fee isn’t as important as what their reimbursement policy is in case things don’t work out, so make sure you find out this first.
Property sourcing with Cox & Co
With our dedicated property investment service, Cox & Co is uniquely positioned to help you find the right investment property for you at the best possible price and support you through every step of your investment journey.
With property sales professionals, mortgage brokers and property managers all available in-house, you can be as hands-on or hands-off throughout your investment as you’d like. Your dedicated property investment manager can source you the most suitable properties for your investment needs, recommend the best way to finance your deal and even help you find and manage tenants for your property.
If you’d like to read more about our property sourcing and Edinburgh property investment service, visit our dedicated page for the service. You can also read testimonials from our past and present clients here. Ready to get started? Email us to set up a no-commitment discovery session with our property professionals.