After scratching our heads for a while the answer was obvious – why couldn’t we agree to buy the property now for an agreed price but break the payment down into 2 stages? We figured this would help us offer a greater total value for the property and that our vendors would like this.

Once we had worked this out, we needed to find a process that protected both parties’ interests during the period, which also assured the vendor that we were not going to disappear without making their second payment! Most importantly the solution needed to be easy to explain as from our experience, complicated processes only serve to confuse the vendor and scare them off. Well we couldn’t find one we liked so we got a solicitor to draw one up for us.

As we all know, the trick is to have as many tools in your kitbag as possible, in order to have the best possible chance of finding a solution to a vendor’s problem. With the current restraints on lending, discounts today need to be at least 28% in order for the deal to be “deposit paid / no money left in”. Naturally most vendors want to achieve the highest price for their property, so in many cases this means that they are either unable, or unwilling to take such a large discount.

Staged Payment deals have really been maximising our cash-flow over 2009 and will be much used through by us through 2010, but they are not new concepts. Basically, when you break it down, it is simply one payment on completion and another in a few years (usually 3-5). It’s a bit of a hybrid between BMV and a Lease Option, with the key difference that you actually own the property from day one.

This methodology has enabled us to buy properties in locations that we may not previously have considered, as we only look at these purchases on a 3 year plan – ie: buy now and sell with exit strategy. We feel the location becomes less relevant as long as the property will make good cash-flow during the term. Clearly the it needs to be managed but we are not seeking to hold forever – simply until the point where we exercise our exit strategy to make a pre-determined profit. To summarise, we have a proven system that offers full legal protection for both the buyer and the seller which will mean you can do more deals.

If you didn’t already see the article, you can see a copy of it here.

As always, we welcome your feedback and thoughts on this article – info@everycloud.org

Katie was honoured to be ask to speak at the event about the Staged Payment process we have been using to buy properties over the last 6 months. It was the fist time that she has spoken in public for a while, so was a little bit nervous given the experience in the room. That said, she hopes the key messages came through and that for those who aren’t already using this approach, they now have another tool in the kitbag to discuss to find a solution to vendors.

As Phil confirmed, EveryCloud are delighted to be working with Rapid as their partner for Staged Payment deals.Here for a flat fee of £1k per transaction, we will case manage this from start to finish for you – including arranging the solicitors, finance and all of the associated paperwork for the 2nd payment. For more details, please contact info@everycloud.org or call on 0800 158 3775.

Here’s to 2010 being the year of the Staged Payment! Remember we still offering the pack at a discounted price of just £97 until next month. This is everything you need to get started on doing your staged payment deals – the Side agreement (which can be used over and over again), the Land Registry forms & guides for positioning / explaining it all to Vendors. Fantastic value for money.

NB the £1k fee does not cover your normal buying costs (finance, solicitors & valuation etc).

Make sure that you have this in your kitbag for a cracking 2010. What a way to get more vendors to say Yes to your deals.

Why not buy one for your loved ones or just treat yourself at this time..?!!

To go directly to our site please click here

We have a few copies left at this price, but hurry as it won’t take long for them to go.

Click here to purchase.

• Do you think this could help you do more deals?

If the answer of any of the above points is yes, then read on.

What is this all about?

At EveryCloud we’re delighted to share with you a simple strategy that we have been successfully using over the last year to buy more houses and make more vendors want to do business with us.

As we all know, the trick in increasing conversions is to have as many tools in your kitbag as possible, in order to have the best possible chance of finding a solution to a vendor’s problem that they can work with.

With the current restraints on lending, we all understand that discounts today need to be at least 28%.

Naturally most vendors want to achieve the highest price for their property, so in many cases this means that they are either not able, or not willing to take such a large discount on their property.

We wanted a way to provide a solution for these vendors, so we came up with our own Staged Payment Process.

Download your free report here.