Below market is a buzzword in the property investment community especially in the paid training course market where investors pay thousands of pounds on courses to learn how to source and buy below market value (BMV) properties.
The client can then often come to us as their property finance adviser and ask how these BMV transactions can be financed and if we can achieve the holy grail of 100% financing or “no money down”
The short answer is that we have access to lenders that will finance 100% of the purchase price subject to a reasonable risk ie 70% loan to value but in practice the vat majority of lenders require some cash in the deal or as lenders call it “hurt money” or “skin in the game” from the applicant / investor. If you can provide this cash as your commitment to the deal then you have a wider choice of lenders and also lower interest rates
Further Information You May Find Useful
To be updated.