Selling a Conversion Project & Financing It As Well

Selling a Conversion Project & Financing It As Well

Sometimes you need to know when to sell off a project or when to do it up yourselves. We have a conversion project that we decided to sell as we have several other projects going on at the same time. We always side to the side of caution. We under leverage….we make sure we never have voids ( as best as possible)…We adhere to our tenants needs and immediately take care of any maintenance issues. Mostly we do social HMOs and social family houses in order to maximise our time. These social HMOs and family houses are on, no voids…no management…no maintenance long term contracts. This lets us cash flow wonderfully yet focus on finding new property deals and managing our various teams of builders. We have no issues to travel and look to find the best deals with the highest returns.

This conversion project we were approached by a young builder. He had 25k to put down and had 80k for the refurbishment. He asked if we would hold a first charge for up to 1 year instead of going to a bridging company and jumping through hoops. As we want to grow with him, we thought it would be a win win. We always look to be creative and make JV situations that everyone wins.