Buying From BMV Company

G_M

I can only repeat my earlier advice.

"I would never pay a 'reservation/ admin fee', even if supposedly refundable." If they do, I repeat my earlier prophesy:

"See you in 6 months when you come back with the story of how your parents were led to believe...... but actually...... and what can you now do about it."

(though I may be wrong about the 6 months....)

Gareth78

Ok here's the update I was hoping not to bring you!

My parents went ahead (against my better judgement!) yesterday with the reservation of the property after taking some legal advice. So they've paid the £1000 reservation fee and the £495 administration fee. They have recieved, in the post today, a reciept for the money paid, a reservation form with t&c's to sign and return and a notification of sale (with details of solicitors).

So far, so good!

Fingers very tightly crossed that this all goes well, will keep the thread updated when I hear anything more.

Gareth78

Ok, quick update on the situation.

Surveyor has been out and it came back fine and reported no problems with the property. He also said the the rent the tenants were paying was slightly lower than he would expect for a property of this kind which was a nice surprise (although my parents have no need/want to increase the rent as they do not want to upset the tenants that have been there for so long, at least for the moment anyway)

So all in all it seems to be going quite smoothly, the company has been keeping in touch with my parents with regular updates on the sale and so far, so good. Exchange and completion have been scheduled for the same day next week (cant remember which day but will update again when I have spoken to my parents again)

Fingers still tightly crossed but I have to admit this has been a complete surprise to me so far. What are all your thoughts on it?

MobileSaver

Gareth78 wrote: »

What are all your thoughts on it?

On the face of it this sounds like it could be one of those rare property investment companies that isn't a scam.

However it's a much more expensive route than contacting Estate Agents directly - from your original post your parents will be paying £2000+ for the privilege!

As you'll know from reading many posts on here, I hope your parents realise what they're letting themselves in for if they become landlords!

Gareth78

Thanks for the reply mobilesaver.

I'm not sure these properties are ever marketed by estate agents. From what i can make out the vendor is selling this property as part of a portfolio and were passed to this company directly with a discount on the whole portfolio. The company then sells the properties at this same discount (not sure that part is true!) and then charges the 2.5% of the sale price as their "finders fee".

I have to say that I was as sceptical as everyone else who posted on here but I have to give this company credit where credit is due, they haven't stitched my parents up.... yet!

Gareth78

Quick Update -

Exchange and complettion scheduled for Friday! Fingers still crossed!

As a bit of an aside, my parents have been offered another property by this company (they always said they were looking to buy two) and it appears that this company have now stopped charging their "finders fee" on some of the properties they sell, which includes the one they are looking at. I assume that they would now make their money by offering less of a discount to the buyer and creaming off some of the difference between what they have been offered the property for and what they sell it at? Either way the "reservation fee" is still payable but even this is refunded on completion. I can't see any other way of them making any money out of these sales.

I've told them to wait until the first one completes before looking at another one!

Who knows, maybe someone at this company has seen this thread and have taken notice of what people are saying!!!!!!!!

BitterAndTwisted

Generally what happens is that there will be unforeseen complications and then delays, delays and even more delays to prevent completion until the buyers are totally fed up and withdraw. Then the buyers kiss goodbye to those upfront fees. Which was the intention all along.

I really, really want to be proven wrong about this for your parents' sakes

Cannon_Fodder

Gareth78 wrote: »

Parents viewed the property today at 12.30. Spoke with tenants...

Its usually all a Landlord can do to get tenants to let them have one or two viewings.

Let alone be nice as pie after 4 visits.

And something just doesn't smell right about them presumably heading home from work in their lunch-hour...I'd have just let the EA do their stuff, if I wasn't going to insist on "quiet and peaceful enjoyment"...

But that's just me being cynical, I hope.

Brb

Cannon_Fodder wrote: »

Its usually all a Landlord can do to get tenants to let them have one or two viewings.

Let alone be nice as pie after 4 visits.

And something just doesn't smell right about them presumably heading home from work in their lunch-hour...I'd have just let the EA do their stuff, if I wasn't going to insist on "quiet and peaceful enjoyment"...

But that's just me being cynical, I hope.

As a tenant that wants to stay in the house personally I would be bending over backwards to be nice as I wouldn't want to move and be shown in the best light to potential new landlord.

However I must agree with feeling cynical about it all too. On a periodic contract they could be gone in a month and faced with a void straight away ?

Gareth78

Cannon_Fodder wrote: »

Its usually all a Landlord can do to get tenants to let them have one or two viewings.

Let alone be nice as pie after 4 visits.

And something just doesn't smell right about them presumably heading home from work in their lunch-hour...I'd have just let the EA do their stuff, if I wasn't going to insist on "quiet and peaceful enjoyment"...

But that's just me being cynical, I hope.

'twas a Saturday!