We offer highly profitable property and development investments to our investors ensuring they receive a high return on their investment in excess of 20%.
ARM Empire offers a full management service to ensure all properties are taken care of even after the full purchase has been finalized, including council tax payments and utility payments. and getting the build process finished, the property sold, and the money in your bank
Land Development
We work with Developers of all sorts finding and sourcing the developers and investors with the best bespoke and truly off-market lands for developments with high returns.
Buy Refurbish Refinance
For a lot of investors, this is the go-to because it allows them to recycle their money. The way it is done is by raising the value of the property and refinancing it which allows you to pull out all your money then receiving rental income on the amount of equity you have in the property giving rates in excess of 20%
Here are the figures for a property we sourced for our investor. We decided to sell this property generating a 23% cash flip profit.
- Please find a video of the property.
- The full Purchase price including solicitors and stamp duty(none). £41,683.49
- Refurb cost £25,000
- Full cash in £66,683.49 (can be done bridging)
- End value resale £75,000 - £85000
- Sold for £83,000
- Holding cost £300
- £16,017 flip profit 23% flip profit
- . Bank valuation. £79,000x0.75= £59,250 (amount the bank will lend to us)
- Refinance mortgage cost £1,000
- £67,983.49 - £59,250= £8,733.49
- Monthly rent £527 Yearly gross rent £6,324
- Monthly Mortgage interest 3% = £148
- Monthly maintenance = £53 10% of rent
- Monthly management = £53 10% of rent
- Total costs pcm £254 Profit monthly=£ 273 Yearly rental profit = £3,276
- 3276 ÷ £8,733.49 = 37.5% ROI
- £59,250 will be cash in the bank back.
- leaving £8,733.49 in the property with a 37.5% ROI
Buy to Let Properties
As investors we are aware of the importance of single tenancy buy to let properties – these are the best tools to generate cash flow investors
As shown down below the cash return achieved on the high return rental properties.
We have experience in assembling deals that have provided both small and large investors access to investment opportunities that generate high profits. We’re sourcing these properties that will generate a great return for you.
BTL example
Property is bought for £50,000
Deposit required on a 75% BTL mortgage= £12,500
Legal costs including SDLT= £2,000
The total cash invested to purchase the property comes to £14,500
RENT achieved = £500 pcm
12% deducted for management = £60
12% put aside for maintenance and voids = £60
interest at 4% borrowed from the mortgage lender = £125 pm
monthly profit after all expenses = £255
yearly profit of = £3,060
3060/14,500= 21% return on your investment
this isn't counting the capital growth of the property which is the icing on the cake
ARM Empire provides the A-Z of this deal and a deal like this will cost £1,995
House in Multiple Occupancy (HMO)
Looking for maximum rent? HMOs are houses occupied by more than two qualifying persons who are not all members of the same family. In most cases, this is a house or a flat where some of these households share basic facilities, such as a kitchen toilet or bathroom.
These properties usually generate more cashflow, but there is a slightly higher risk of void periods and higher maintenance expenses.
You can also apply the by refurbish refinance method for even higher returns
SDLT Reclaims
SDLT Reclaims
Stamp Duty Land Tax (SDLT) and its Welsh and Scottish equivalents are difficult to navigate. With multiple categories, levels of rates and constantly changing rules, it is difficult but vital to get it right as it is in your best interests to minimize the amount of SDLT you’re required to pay.
How can we help?
SDLT is charged on the transfer of land and buildings only. For some property transactions, there are several reliefs available for mitigating an SDLT liability, and there are also sensible approaches that may be taken to reduce the value of the land and buildings on which SDLT is ultimately due.
if you are faced with large stamp duty on properties and wondering if its possible to save on hundreds of thousands of pounds if not millions on mitigating the cost.
Importantly, the aspects listed below may be applied after you have purchased the property.
- Multiple dwellings relief (MDR)
MDR works as a relief from SDLT where the property to be purchased consists of two or more residential dwellings (i.e. a ‘granny annex’) or the substance of the transaction involves the purchase of multiple residential properties from the same or linked vendors. In such circumstances, the purchase consideration is averaged between the number of dwellings and therefore results in a lower SDLT liability.
- Mixed use property
Where a property is purchased, either as a standalone unit or as multiple properties purchased pursuant to the same transaction, and there are a mixture of residential and commercial elements, it is possible to make an argument that the transaction is ‘mixed’ (between residential and commercial) and therefore the lower commercial rates of SDLT should apply to the overall purchase cost.
- Six or more residential purchases
Where six or more residential properties are acquired as part of the same transaction, a taxpayer may elect to treat the total consideration for all properties concerned to be taxed under the lower commercial rates of SDLT.
- Dilapidated property
Where a residential property is being purchased which is not suitable for habitation, it is possible to argue that the additional 3% surcharge now in effect in relation to purchases of second residential property, or a purchase of a residential property by a company, does not apply.
- Partnership transactions
Transfers into and out of partnerships are subject to special SDLT rules and can result in a significant reduction to the potential SDLT liability. These rules are complex and rely on expert guidance in order to determine availability.
- Chattels exemption
SDLT is only chargeable on the value of the property itself. By assigning the correct tax value (as opposed to tax cost) to the chattels included in the transaction, you are able to reduce your SDLT payable.
- Purchase of main residence
The purchase of a second residential property (usually) attracts with it an automatic 3% levy to SDLT on top of the ‘ordinary’ rates. This can be particularly debilitating where the property purchased is intended to replace you existing main residence but there is a delay between selling the old one and purchasing the new one. Luckily, where the old residence is sold within 3 years of the purchase of the new one, this additional tax can be claimed back. There are also several nuances where the additional 3% does not apply in these circumstances in any event, which are often missed.
We can save your mortgage!
We work with specific high net worth clients that have complicated structures in place if they are refused to apply for a mortgage and bridging or simply want the best rates including development finance, on assets above 1 million.
Find out how we can help
