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From Deal Sourcing to Property Trading: The Natural Next Step

Piotr Rusinek and Jay Howard, Directors of HAMMERED Auctions, comment

For many in the property investment world, deal sourcing has been the entry point into doing their own deals. It’s a proven way to build relationships, learn the ropes, and generate cashflow without the heavy burden of ownership. But as the market evolves, and as more sourcers compete for the same seller/ stock attention, the question becomes: how can you move from earning modest fees to building real profit and long-term financial security?

For me the answer, in many cases, is to step beyond sourcing and embrace property trading. In this article, I’ll outline the key differences between sourcing and trading (as I see them at least), and why trading offers greater upside, then we will outline how you can make the transition without exposing yourself to unnecessary risk.

The big question…Deal Sourcing vs. Property Trading which is best for you?
Let’s start with definitions:

Deal Sourcing: You find a property, package the deal, and sell it on to an investor for a fee (often £2,000–£5,000, sometimes more if it’s exceptional). Your job ends once the investor commits.

Property Trading: You secure control of the property -typically by exchanging contracts, taking an option, or completing quickly -and then resell it at a higher price. Instead of a fixed fee, your margin is built into the difference between your buy price and your sell price. 

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