Our expert sales team are specialists at selling HMO and investment properties. Whether you're looking to buy, sell, or just get some advice on your property investment, you're in the right place!
Due to the expert knowledge within our team, and our completely transparent approach, both buyers and sellers benefit from high completion rates as we're able to avoid many of the pitfalls which can cause sales to fall through.
Looking to sell
If you know you definitly want to sell, or are just thinking about it, the best first step is to ask us for a free market valuation. Unlike agents who specialise in residential property sales, all we do is sell HMO and investment properties, so we know how to get it right.
When selling a property, you need to know what investors see when they view a property. What is the potential? What will planning allow? What will future rental income be if a property is developed? What is the cost of that development?
Our expert valuation process understands the view of the buyer, be it faults, issues or potential. At first point of contact with the Purple Frog sales team, you are speaking to an expert specialising in the sale of investment properties. We know we provide an excellent service, so won't tie you in to long-term contracts.
Looking to buy
Use our experts on the ground to source the perfect property investment for you. We know it can be daunting investing in a new market, not knowing what the best areas are to invest in or which way the market is going; so take some of the worry away by talking to one of our team.
If we haven't got what you're looking for right now get in touch with us on 0333 003 2211 or register your interest by completing this short form.
You can see properties we are currently marketing for sale on Rightmove.
Request a free valuation Call us: 0333 003 2211
How we do things differently
Getting the valuation right
Selling an investment property is more like selling a business than selling a home. When standard estate agents value a property, they will look at comparable properties and recent sales alone to try to assess value and they may well miss important factors which may enhance the value of a property.
HMO properties can offer potential for development or improvement to increase revenue for ingoing buyers, knowing where these potential enhancements are possible and a rounded understanding of their impact or not, significantly impacts market value.
Also key, is an on-point knowledge of changing market factors such as return on investment percentage calculations and rental capabilities. Experienced investment property agents are able to help potential buyers understand the investment opportunities.
The right marketing
Frustratingly, most HMO properties are advertised for sale with incomplete or no details of tenancies or income which is off putting for potential investors who need to understand in detail, the anticipated financial outcome of an investment and the required strategy for successful and profitable future letting.
A specialist agent will not only make sure the information investors need is provided, but that it’s put in front of the right people; specialist agencies like Purple Frog serve the investment market and that keeps us focused on the right detail. It also means that our marketing is pinpoint and our mailing list is 100% built from investors.
What’s more, to reach the fullest market, consideration has to be made for individuals who live a distance away from where they want to invest. This applies to the wider London and South East market as much as it does to buyers that are based abroad.
In order to effectively sell to these markets, there needs to be clarity of information, from where trust can be built. We’re particularly proud to be constantly forming good relationships with companies and individuals that find it difficult to personally view property or easily understand the investment from a distance.
Conflict with Bank/RICS valuations
Banks and surveyors don’t value properties the same way property investors do; they have to value a property based on what they think it would sell for if it was not an investment property; in most cases, and particularly with HMOs, the valuation provided by a bank or RICS surveyors will be lower, sometimes significantly, than the sale price agreed. This can lead to renegotiations or collapsed sales if not handled correctly.
The team at Purple Frog ensure buyers are aware for the potential for undervaluation and rather than asking for the standard proof of funds at a rate of 25%, we ask for higher or appropriately tuned proof of funds to overcome low bank valuations and to incorporate stamp duty costs.
If a buyer can’t bridge the gap between a valuation and agreed sales price, then they are no longer able to proceed with a purchase. We anticipate all of these factors to avoid wasting the time of our clients and investors.
To let or not to let
The single biggest mistake we come across is property owners being told they must have vacant possession before selling their property.
Whilst this may be true in some cases, for example where the property is worth more to an owner occupier than a property investor, in many cases, if there are good tenants paying market rent, the property will be more attractive to property investors.
We look at any potential listing in every detail and agree actions with vendors to suit them and the market.
Article 4 – certificate of lawful use
When a property is situated in an Article 4 area, most lenders require evidence, normally in the form of a certificate of lawful use (COLU), that a it has the right use class. It can take three months or more to secure this with the local authority.
It’s vital to resolve this at an initial stage to ensure best price and avoid lost sales. COLU's are now being required by most lenders when refinancing, and by local authorities when renewing HMO licences, we can make an application for you at any stage, find out more here.
Request a free market valuation
Our fees
Sole agency fee: 1.5% inc vat of gross sale price, minimum £3,000
Multi agency: 3% inc vat of gross sale price, minimum £6,000
Development and Project Management
Whether it's a 'refresh', complete renovation or interior design, we can help give you an expert opinion on any plans you may have or even manage the project from start to finish. Find out more about our project management and interior design services.
If you'd like to talk to us about any of the above please get in touch with sales@purplefrogproperty.com or call us on 0333 003 2211.
