Chain-free, realistically priced properties

'white hot property' - a new way to find your dream home

'white hot property' is a term used in the real estate industry to describe a second-hand property which is sold on behalf of a housing developer or a financial institution.

When a buyer purchases a new home from a developer, for example, their existing property is often used as part-payment through a part-exchange scheme. This means that the developer is subsequently left with the buyer's old property after the transaction has been completed, i.e. a white hot property.

In the case of white hot properties which come from financial institutions, these properties are the result of building societies and other mortgage lenders acquiring real estate through repossession, prepossession and probate transactions.

How do white hot properties differ from usual home sales?

The team at whitehot property, work with developers and lenders to sell these types of property through their close relationship with the parent company, movewithus.

"What sets these properties apart from usual home sales is their realistic sale price, which in turn means they represent some of the best deals on the market for buyers," explains Robin King, movewithus founding director.

"The uncertainty of property chains is also completely removed because the buyer is purchasing directly from a financial institution, rather than from another home-mover."

Many white hot properties for sale have additional money-saving incentives, which include:

• Assisted purchase scheme
• Cash towards a deposit
• Discounted legal fees
• Cash-back towards moving costs
• Part exchange consideration
• Stamp duty paid

"Every white hot property for sale is a 'must-sell' repossession or part-exchange property, which a homebuilder or a lender has acquired in a sale or has repossessed, so they are often among the most reasonably priced," says Robin.

"Not only do many come with special deals, such as the chance to part exchange your current home, but numerous white hot properties have fantastic investment potential too, with some offering a rental yield of over 9%."

First-time buyers attracted back to the market

Robin has found that first-time buyers who had been put off due to the housing uncertainty, have been attracted back to the market due to the many advantages of white hot properties.

"One of the main selling features of white hot properties is the transparency of the process. We make as much information available to the buyer as possible. This open approach is designed to instil confidence into the buying process," he explains.

"We've found that white hot properties have the ability to change the attitude of buyers who are sceptical about the moving process – particularly first-time buyers. We believe that, if their benefits are clearly explained to customers, white hot properties have the unique ability to attract this demographic back to the market."

Click here to visit the whitehot property part exchange website

Information provided by whitehot property | Last updated: 8th December 2008

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