Nest Egg
Nest Egg
Investment Option
Investment Property
The 2 “nest egg” promotions have been specifically designed for the needs and demands of potential clients wishing to invest in property, hoping to realise the potential of spare funds that are not reaching their potential returns offered by banks, Isa’s or pension products. At Added Value, we are constantly looking to fulfil and maximise client financial goals, and these products do that whilst ensuring a safe, reliable investment opportunity, where the stress, concerns, and  lack of expertise is catered for, you simply rely upon our vast knowledge and expertise, and we protect you from the many and various potential pitfalls of buying a long term investment property, be it if you are looking for capital growth, and/or a simple buy to let opportunity.

We often come across people from within United Kingdom, and beyond, who have been “bitten” by the appeal of buying at auction, where costs have spiralled, and the process of seeing what seems to be a simple, and lucrative process have been nothing but.

Guide Prices – are often a sales and marketing strategy.
Properties are rarely sold at the guide price, the guide price are usually set low to entice potential buyers, and properties often can sell for more than double the prices set.

Auction companies know that for the vast majority of newcomers, buying their first property at auction becomes an “emotional” purchase rather than a business decision, especially in the heat of bidding in a live auction. Rarely do buyers actually stick to their “upper limit” due to their keenness to get on the investment ladder. Buying an investment at the correct price is a key to investing, and the “correct price” impacts the financial equation of the entire investment opportunity.. The perils of buying at auction certainly do not end there, in fact they begin there, because you have additional costs and financial constraints to deal with such as:

 

  1. Auction sales fees – can be as much as £6,000 per property
  2. Contribution to the sellers costs – £2,000 is not uncommon, legal pack explains
  3. Admin fees – from around £500
  4. STAMP duty varies depending on property price banding

Landscape view on small city
Properties
As well as purchase price, charges, and fees, one has to consider

  • What you intend on doing with your property, what is the local area like, how will you make the investment work for you, and how easy, difficult or stressful will the project be
  • If you are looking to renovate, and you are living hundreds of miles away; who can you trust to manage the project, timeframes, and costs, as well as other key considerations
  • Costs of renovating a property, standards o workmanship, and that your selected tradesmen will actually finish the job. Once completed who will maintain the property, and what does that entail
  • If you are looking to offer your property for rent, who will manage this for you, what will that cost, and will the rental income actually make financial sense
  • The perils of a disgruntled tenant, who pays for a “trashed” home
  • Void periods, how often is the property let, and what are the costs involved with renovating the property every time someone leaves
  • Rent arrears can total huge sums, the average arrears are usually 8-12 months, and so in some cases can be as much as £6,000 or more. Recouping monies is usually lengthy, complex, and frustrating.
  • Tenant Eviction is one of the most difficult, stressful, and in some cases dangerous, particularly if you have a stubborn and difficult tenant who normally do not have the funds to physically move, nor have a forwarding place of abode.

At Added Value
At Added Value, we take care of all the headache, pain, and stress of managing tenants. It starts with housing the “right” tenant in the first place. We have robust and organised procedures in place to filter the right tenants from the outset, ensuring standards of agreements are communicated well, and there is no ambiguity between us and the tenant.

Our investment options are well thought out, constructed, organised and successful, normally resulting in long terms lets where tenants not only remain in our properties, but also recommend us to others.

Our homes are refurbished to a high standard, and offer “best in the market”  options to our tenants, they are given social and community demographics, as well as quality information about the area, paying particular attention to schools, colleges, and universities, safety and security, and shopping and leisure opportunities. We really get to know our tenants, their lives, concerns, and aspirations. We employ rent coaches who are trained to become ambassadors for Added Value.

We endeavour in all aspects of investment property’s, for all concerned culminating in the smooth running of our group.

People making a deal
ALLEVIATING THE HOUSING CRISIS & AFFORDABLE HOUSING EPIDEMIC
Family homes from £49,995

What Housing Crisis? What is classed as Affordable?

Having researched the issues surrounding the housing issues in UK, and particularly in the South, out team has formulated services that should eradicate the need for both affordable housing & the lack of housing combined, but prior to explaining how we do this, we have questions, questions with answers, and results from surveys carried out.

We believe Added value offers the most compelling and common scense approach to alleviating the housing crisis conundrum throughout UK.

 

Question 1 What is the value of an “affordable housing home”?

We have found that on average (particularly in London) first time buyers are having to buy their first home which equates to from 7 times to 15 times (£250,000 for a 2 up, 2 down terraced house) their annual salary., which certainly is preposterous. Whereas in the midlands houses can be bought for around £150,000, and in the north around £100,000 which equates to around  times annual salary..

So the disparity of what is affordable is highly debatable.

We feel “ affordable” starts from £49995

Question 2   Why are you living in London?

                              The most common and obvious answers were;

Jobs & Opportunity

Its very evident that the government is ploughing money into the capital, we know there is hundreds of millions of pounds being invested into the infrastructure, leisure and entertainment, technology and research and so on. London is trying to remain one of the elite cities in the world, and it is a no brainer as to why people of all nationalities flock there hoping to capture a slice of the wealth and opportunity. However, we have learned that the vast majority of Londoners are in the jobs paying just over the national minimum wage, plus “London waiting” at around 15-30%.  There are some senior management roles, top executive jobs, and director lever or management jobs that pay huge salaries, but that is limited to the city, and specialist  jobs.

Again when you delve into the detail, its still not a great opportunity, as below:

  • The daily commute – 90 minutes each way
  • Constant traffic jams, and delays – making an 8 hour shift into a 91/2 day, adding 7.5 hours to your working week
  • Travel costs and quality of travel – its disastrously expensive, often not able to sit on a train, or relax in a car, famously late or delayed causing frustration, and low mood even before the day has begun., let alone time to relax and enjoy the day in the evening….eat and to bed?
  • The sway of more opportunity means a lack of housing resulting in poor standards and terribly unfair rental costs
  • Higher wages generally means costs go up, so whether its lunch, or coffees or dinner, you will be paying much more for the privilege.
  • Indeed higher costs, and maintenance charges all round, be that child care, plumbing, building or just about anything.
  • The literal impossibility of getting on the property ladder with 7-15 times your salary for basic living hanging over you, leading to the feeling of a mortgage prison suffocating you. Or you could move back in with your parents which is a growing fashion, so leads to a lack of freedom , and privacy, and parents being under pressure to support their children causing disgruntlement, arguments.