Strengthening our service
We will always strive to better ourselves at Property Partner, and as we recently indicated, we have spent some time assessing how to improve our services to you.
Property Partner has the unique ability to service both investors and vendors equally. Currently, we charge investors a one-off fee of 2%, which we believe is fair, but it’s a low fee for the complete services that we provide – and many of you have even enquired as to why we don’t charge more. So far vendors have incurred no costs for the value we give them – and this is set to change. A new property vendor fee will be introduced to help us continue building an even better offering for everyone – an exciting step for the business, and for yourselves.
Here’s a breakdown of the services we provide to investors and vendors, and how the fees will look:
Investors: Fees stay the same – a one-off 2% fee on investment and 0% to sell:
- • Invest in property and list for sale, both at the click of a button
• Access to investment-grade properties handpicked by experts
• Benefit from average purchase discounts of 5 – 10% compared to buying units individually, thanks to Property Partner’s bulk buying power and industry knowledge
• Easy diversification across multiple properties
• Avoid huge upfront cash requirements
• Avoid admin, letting, and legal obligations
• Benefit from geared investments (a mortgage), all arranged
• Receive reports and regular revaluations of investments
• Benefit from efficient management costs: 10.5% + VAT of rental income is far below high street agents – and is merely a breakeven activity for Property Partner
• Benefit from the tax structure efficiencies of property held in an SPV (Special Purpose Vehicle)
Property Vendors: New Fee – 2.5% + VAT on purchase price, for delivering:
• Confidence in the transaction: we’ve bought 234 units in the last 18 months
• A fast and reliable cash purchase
• Reduced marketing costs: we provide an exit for multiple units in a single transaction saving significant cost and time. Our vendors sometimes don’t even use a selling agent
• Quick decisions throughout, even with complex deals, from our highly skilled in-house buying team
• A professional transaction and ability to solve problems: we retain top tier solicitors
• A swift survey and valuation process: we have established a national network of RICS surveyors who prioritise our transactions to meet this expedited timetable
You can read more about why vendors choose to sell with us, and read references from past transactions, right here.
Our decision is by no means an unusual one, in fact, it is common practise in the property industry and alternative finance. Now that we have built a strong reputation in the industry, we feel confident in establishing this new process. Crucially, Property Partner buys at a size that is too big for private investors, but under the radar of larger institutions, which puts us in a position of even greater strength.
While this information may not be directly relevant to investors, we have decided to share it in line with our commitment to full transparency. Moreover, we want our investors to know that they should benefit from this move. As this fee comes into effect, be sure to keep an eye out for further investment in improved features, and some exciting new investment opportunities. In the meantime, take a peek at the marketplace for any deals that might be out there, right now: