Many people understand the benefits of investing in property but unfortunately, don’t have the cash required to invest.
For a simple buy to let property you are likely to need between 20 and 30% for a deposit and in any area other than the north of England and perhaps parts of Wales, that could mean a very significant amount of money.
However, some entrepreneurs has started to use a clever way of making money with property that requires very little money to start.
The strategy is to source properties For other investors who do have the cash but don’t have the time. The investor then pays the sourcing agent a fee in the region of £3-£5000 for suitable property.
The property doesn’t necessarily need to be a buy to let investment property, It could be a property that is suitable for a flip, a serviced apartment, a commercial renovation project or a rent to rent property.
The bottom line is that the sourcing agent is finding a property that the investor simply didn’t have time to track down I was getting paid for finding that property.
The benefits for the sourcing agents is that they are simply finding properties for free and are able to cash in on a suitable property by helping an investor Build their portfolio.
In many cases they are finding properties from distressed sellers who need to sell urgently and are prepared to take a discount on that property in order to get quick sale. This results in the investor getting a deal, the seller having their property sold and the sourcing agent earning some money. In other words if it’s a win-win situation.
The sourcing agent can work from home to find properties and has no need to travel the country doing house viewings, the investor usually do the actual viewing themselves.
If you would like to learn more about sourcing properties for cash, simply register for one of our free Sourcing training Webinars with Sarah Poynton-Ryan.