Liquid Properties, a UK Brighton-based company helps people to sell their homes quickly, with a guaranteed price and with completion in as little as 14 days, and they believe that several cities throughout the UK could benefit from the unique services that they offer.
Liquid Properties’ business model seems to be very similar to that of US company, OpenDoor. Similarities can also be seen when looking at the UK Estate Agency nested.com, who recently raised approximately £10 million in funding but do not purchase properties themselves.
Nested is viewed by many as offering a better selling method than traditional estate agents. However, Liquid Properties tech-savvy founder seems to have managed to launch an even better, combined model when creating the company’s method and approach to buying and selling homes quickly.
Currently covering Brighton and the South coast, the company has an aggressive plan to scale up across four more cities later in 2017 alone.
Taking a look at the founders Linkedin profile, it certainly seems they are on a mission to set themselves aside from their competitors, with the founder stating that they want people to think differently. The company aims and commitment to offering a unique and fault free service to vendors seems clear.
Their mission is to make people think differently when they need to sell a property, challenging the traditional lengthy, uncertain and archaic selling methods of estate agents by turning people’s homes into Liquid Properties, without giving away hard earned equity to the opportunistic ‘we buy houses for cash’ moguls.
Their website states that they will give you an instant valuation, followed by a next day cash offer just a few percent below its true market value with a guaranteed completion date from 28 to 60 days. If they pass the 60 days, Liquid Properties will pay your mortgage until they have completed, which seems a no-brainer for anybody considering selling their home anytime soon.
Their Twitter page, @Liquid_Property also offers a great insight in what they are aiming to achieve as a business.
Liquid Properties’ founder, Antonio De Marco, said: “We are putting everybody who sells directly to us into the powerful negotiation position of becoming an instant cash buyer on their onward purchase. People who sell to us will now be able to make up the few percent reduction they’ve offered us for the security of a guaranteed sale and a guaranteed completion date from the purchase price of their onward purchase.”
Like the £10 million pound start-up nested.com, Liquid Properties are putting sellers in the position to buy even before they have technically sold, which means if you sell to Liquid Properties you will completely avoid the uncertainties of an archaic estate agent simply adding you to a lengthy property chain that doesn’t offer any guarantee of a sale.
Liquid Properties make their returns by quickly adding value and re-selling immediately, or they take ownership and retain the property in their expanding property portfolio. In some cases, Liquid Properties may guarantee a sale price, conduct minor repairs to a full conversion at their own expense and re-sell the property quickly to a third party and split the increased profits with you up to 50/50% split.
For example; your home is valued at £350,000, Liquid Properties make you an offer at £315,000, which is guaranteed. The Liquid Properties team add value by cleverly modernising and altering the floor plan by adding an additional bedroom without extending or requiring planning permission.
The home is instantly worth £395,000 which is £80,000, or 23% above the initial valuation. Liquid Properties usually retain around 60% and the balance is kept by the seller, which is £32,000 more in cash than their guaranteed offer once they’ve flipped your property like the $1 billion unicorn OpenDoor in the US. (These figures are for illustration purposes and based on the average property price in Brighton and Hove.)
Antonio said: “The inquiries we’ve received are from people in situations such as; those relocating, people wanting to avoid the uncertainties of an Estate Agent, those in financial situation that force them to make a quick sale and those who have found themselves in slow or broken chains and not wanting to lose their dream home.”
The benefits of Liquid Properties unique method to selling and buying homes seem clear, and they are certainly a company to watch over the coming months.