If you’re able to buy cash to invest in a London estate deal, you’re usually in a great position to not only make a good deal, but also find the best deal to recoup your money. Paying cash also, of course, has plenty of other benefits, such as eliminating the mortgage payment while you’re waiting to resell your estate, or just using it as a buy to let investment for the time being. A mortgage payment, which can be pretty hefty and obligatory for up to 30 years, is something no smart investor wants. Of course, our London estate agents always advise cash buyers to think about their decision before making a final cash purchase, as there are a few things that are important to consider.
Every investor needs to evaluate honestly their income and assets before committing to a cash purchase. You don’t want to commit the entirety of your savings to a cash purchase, no matter how great the investment seems. At the very least, you want to be sure you have enough cash left over in your bank account to cover all your expenses for at least half a year, not accounting for any income you expect. After honestly taking all these things into consideration, you can then wisely decide your budget for making a cash purchase. Your London estate agent will work their hardest to ensure you stick to your budget, or even stay well below your top dollar figure, to account for any fees that occur during the negotiations process or for any repairs that may be needed, especially if you invest in a repossessed property.
Do a little of your own research to find estates you may be interested in that are within your price range, but also take all of your estate agent’s recommendations into consideration. They’re here only to help you and have your best financial interests at heart. They will know the best paths to take, have the best connections with sellers and be able to show you properties that would otherwise be inaccessible to you. Think of them as your main finding and negotiating tool.
When you make a cash offer for a London estate, you want to make sure that the sale is contingent upon a few things. You’ll want to get a proper valuation of the property to be sure you’re getting your money’s worth as an investor, and that the seller is not hiding anything from you. Your estate agent can help arrange a valuation. If everything seems legitimate, you can make a cash deposit, alongside proper financial documentation proving you can make the full cash purchase.