I am pretty new to this, I have found a few BMV properties, one is a 3-bed semi property that will sell for maybe £65k, needs a full refurb, market value on the street is approximately £145k. I don’t have much in the way of funds to put into this, what would the best option be?
The generic answer to your question would be delayed completion bridging, as long as the house was vacant. This enables you to borrow against the £145k post refurb value, not the £65k purchase price to complete the purchase,
Here's how it works:
The bridger will lend 65% of the £145k post refurb value, that equals £94,250 less costs. Net result would be you borrow 100% of the purchase price to complete; plus you get the majority of your refurb costs back on day one!
This works great for deals where you don’t want to have masses of cash trapped in a deal, as your cash is released the day you complete on the property.
Investors that have completed my Recycle Your Cash workshop know exactly how to execute this strategy, as it is one of the modules taught.