If you are a real estate investor or planning to become one, you should know how lucrative below-market-value (BMV) properties are. But tracing one is not easy as it sounds. Finding a BMV property is highly challenging unless the property is being auctioned.
BMV properties are residential properties available for sale at a price below their actual market value. This is usually because the owners of such property need to sell their property very quickly.
In most cases, the sellers will sell their property below market value because they are faced with some kind of financial difficulty or even face repossession. Some people sell their property below market value due to a divorce or because they are relocating.
Selling a home below market value means the owner can dispose of their property quickly, without going through a complicated and lengthy process.
Most people pretend to sell properties below market value, which are usually typically not below the market value at all. It depends on the buyer to inspect the price of the property to make sure it is a worthy deal.
You have obtained a decent deal if you manage to purchase a property which is 25% below the market price. Meanwhile, anything below that would be considered a very profitable deal.
Investing in Below Market Value properties is an excellent way for property investors to maximize return on their investment as they are effectively purchasing a property with Instant Equity built in.
Here are some of the BMV properties:
For more information on how to purchase a BMV property, please visit How to Purchase Under Market Value Properties