Below Market Value, BMV, means that you acquire a property at a price that is lower than others pay for a similar property. There are many reasons for a vendor wanting to sell a property below the average market price, such as they need a quick sale to release funds, they maybe a relationship breakdown or economic instability and the vendor wants to have cash.
In difference areas of the UK you can find different amounts of BMV properties. Tungsten MG concentrates in Kent and the South East of England is notorious for having limited BMV properties, so it makes our searches more creative and networking is key. But to the North such properties are easier to locate.
A High Networth Individuals: HNWI is a term Tungsten MG came across when we began to look at investment. When we were looking for investment beyond our immediate circle we had to look to HNWI. These people have an annual income of £100,000 or more and have net assets of £250,000 or more (excluding primary residence or any benefits payable on termination of service, death or retirement. These people are normally regular investors so are able to way up and understand the risk of investment, and they appreciate the long term vision of some investors.
Return on Investment is a term used when calculating a performance measure to understand the efficiency of a potential investment. You can use ROI to compare a potential project against other investments you have done. By calculating the amount of return on a particular investment you can then compare these figures to those of real projects you have completed and decide if it is one to pursue.
Gross Development Value: GDV can be seen as the most important property developers metric as it enables you to calculate the end market value once the development has been completed.
There are many ways of calculating GDV but one example is
Commercial to Residential Conversion: C2R is simply the conversion of a commercial unit, such as a pub, office, retail unit to a place to live. There has been a big rise of C2R due to