So how does it work?
The solutions we provide only work for people that are open-minded enough to consider alternative options in order to sell their house in the timeframe or at the price they want. We’ve put the example below together to give you an idea of how we could help in a specific situation. Names have been changed to protect the innocent!
Jim has just accepted a job and needs to move house ASAP. His house has already been on the market for some time but he hasn’t had any offers at the price he needs to sell at. He bought the house at the height of the market and as a result has a big chunk of mortgage remaining and no equity. He needs £110k to pay off the remainder, but similar houses on the same road normally sell at around £105k. As a result, his property hasn’t attracted much interest.
Jim has several options available to him:
- Wait for his estate agent – this is unlikely to prove worth while since the estate agent a) has their hands tied by market conditions (e.g. availability of mortgages or first-time-buyers creating upward pressure on chains) and b) can only recommend lowering the price in order to generate additional interest. As we have already seen, lowering the price is not an option for Jim.
- Contact a Cash-Buyer – normally able to move quickly with the right properties, a cash-buyer could be the right option, but they will only offer in the region of 70-80% of the current market value of the property. Once again, this won’t work for Jim since his price is higher than the current market value in the first place AND he cannot reduce due to his lack of equity and high mortgage.
- Contact AnyHouseBought – we would be able to provide a more innovative solution to Jim’s dilemma:
- Firstly, we’d agree to buy Jim’s house at the full asking price of £110k and we’d sign a contract with conveyancing solicitors as normal to this effect.
- We’d take over the mortgage payments and take full responsibility for the maintenance of the property for 5 years and then complete the sale at the end of the term.
- We’d put a tenant into the property who would then pay rent covering the cost of the mortgage payments and our administration fee leaving Jim free to relocate and start his new job.
We hope you’d agree that this represents a Win! for all concerned parties. Jim gets to move on from the house free of his mortgage obligations. AnyHouseBought takes control of the property and manages it for a small profit. In this scenario, the tenant may even wish to buy the property during the period of their tenancy so it’s a win for them too, particularly where they are a first-time-buyer who may otherwise have struggled to obtain a deposit and mortgage.
The specifics of the situation and the financials will be different for each set of circumstances, This is just one way. We can also buy outright immediately as long as we can agree on a price that makes us both happy. We hope you get an idea of how we could help YOU. If you want to find out more, contact us now on the telephone number above or fill out the form on the right and we’ll be happy to talk with you in complete confidence.