So, you’ve decided that you want to branch out and begin adding HMOs to your property portfolio, but how can you fund this? HMO projects can be initially more costly, as they are often larger properties that require more extensive refurbishment, but if you can find the initial funding then the advantages of adding HMOs to your passive income stream can be amazing.
How we Fund Deals at Sourced
If you are a franchisee of Sourced, then you will be able to access Sourced Capital. With this funding platform you will be able to borrow up to 70% of your gross development value (GDV), which means you can borrow more than a traditional loan, as you are borrowing based on the end value of your project. With this loan, up to 100% of your purchase price and costs could be covered!* Due to the high loan to value ratio, you do not need a large cash injection initially, meaning entering the property market is even more accessible. Plus, your loan application will be handled in house by our team, who will be available to you to answer any queries and assist you throughout the process.
The Process of Obtaining Funding
When you become a Sourced franchisee you will have a dedicated support people who can assist you with your property journey, and when you would like to apply for funding, they will assess your deal in order to ensure that you are only spending time on profitable opportunities. After a successful assessment, the funding team liaise with you and launch your project on the funding platform. Then, when the loan amount has been raised, the funds are released to you over multiple drawdowns, so you can begin work. Each loan has a unique repayment plan that depends on the loan term and exit plan, so it will be bespoke to you and your situation.
Other Benefits of Joining Sourced
Franchisees can also benefit from extensive and ongoing training, as well as dedicated mentors and support people to help you find the best deals.
Joining Sourced is one of the best ways to enter into the property market, as we take away all the barriers that you may have previously faced. The ongoing training means that you are able to take what you have learned and apply it practically, so even beginners to the property market can join Sourced. You will then be further supported by a support person, so you will never be left in the dark or feeling confused. Our huge network of people and their expertise in the field makes them an obvious choice for your entry into the property market. On top of that, the exclusive funding means that money is no longer a barrier, and you can complete projects that are bigger than you would have ever previously been able to, all with the support of experts.
There are so many benefits of joining Sourced, from funding and our industry expertise, to our huge growing network of experts, mentors and support people. To learn even more about all the benefits, you can download the prospectus now and have a look for yourself!
* All loans are subject to status and require formal credit approval. 70% LTGDV is the maximum loan amount. Your property is at risk if you default on a loan secured by that property.