Interest rates for savers are at historic lows with returns struggling to keep pace with inflation. Savers are achieving minimal to no returns on their capital. Residential property can be a more rewarding place for spare capital, when compared with these savings accounts.

 

Generating returns from property requires knowledge and skill built up over time and that's why we offer our armchair investors a high return on investment to be able to share our knowledge and in our success. We always offer first charge security against the property. 

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Our typical project earns the investor 10% interest in 10 months. 

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Example Loan Agreement 

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Property 1 sourced by Momentum Property Developments  - £55,000

 

Fees (SDLT and Legal)- £3000

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Refurbishment cost- £13,000

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Costs during refurbishment - £500

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Total Cost - £71,500

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Investor funds 80% of Total Cost - £57,200

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Momentum Property Developments fund 20% - £14,300

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End Value - £90,000

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Term - ten months

 

Compounded Interest paid to investor at month ten - £4,949 (10%)

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Exit options

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Refinance by mortgage at month ten - 75% ltv - £67,500

 

or

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Sell for - £90,000

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Return of investor funds

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Return investor funds plus interest at month ten - 

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£62,149

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Momentum Property Developments is also open to various Joint Venture arrangements. Please get in touch to find out more. 

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