That said, even with property, to achieve a secure income without risk, hassle or worry takes a lot of work and a committed professional team.
Welcome to Optimum, We have a team of very experienced investment managers, who know precisely what to buy, where to buy and what strategy to apply for the most successful outcome.
We will show, help, build and manage your portfolio to ensure your security, your financial freedom.
It is how we do this that is fairly unique to Optimum.
How it works
We agree a level of funds available, typically £75,000, or above (which is held in your bank account) and build a portfolio of nine properties over a twelve-year period.
This time frame can be reduced considerably, or income increased by starting your portfolio with an increased sum.
By buying properties at a discount we are able to guarantee to turn your £75,000 investment into approximately £260,000 of equity and cash after 12 years. This return accounts for all costs and fees of buying the properties and the on-going costs of managing and maintaining them, as the properties are strength tested to ensure they can withstand increases in the interest rate, the total costs of running the portfolio are more than covered by the rent received from the portfolio.
With effective strategies and careful management your property portfolio will have an approximate value of £1,400,000 property portfolio and an income of £40,000 per annum tax free for life from this point forward.
All properties are bought to very strict set of “Key Indicators” each designed to test different elements of the project and ensure that the project as a whole is a worthy addition to your portfolio.
How do we identify what properties to buy?
We complete very high due diligence on every project, but what does that mean?
It means that we look at the property from a qualified business perspective, is it the right price, right location, right demographics for type of tenant, employment, development plans of the environment.
We strength test the project to ensure its success against voids, maintenance, all running costs and increases in the interest rate. We then build in additional margins of contingency to ensure that it is a safe buy. If all these indicators align, with the right levels of return, then and only then do we look to purchase.
How do we get paid?
We believe in a simple business practice, create a ‘true vested interest’, between the parties involved. You have to have the exact same agenda, the same end goal and have a ‘vested interest’ to achieve it. This is simple to achieve but surprisingly hard to find. We created a system to ensure this, where our future is directly related to achieving yours.
We have a total of three places where we make money,
The Initial fee, when you first join we have a commitment fee of 5000. This starts the machine and pays to get the teams working on your behalf. As you have seen a lot of effort goes into making things happen and we need to keep the right people doing the right work.
The Value bonus, this is simply where we guarantee to build your portfolio with properties typically bought at a below market discount of 15% or with a return of at least 8% net per year. Any discount we secure above 15% below market value is agreed to be a bonus to us. Any rental income above the 8% Net is agreed to be split between us on a 50/50 arrangement. This ensures that we are always buying the best properties and that your 8% is very safe, as we only get paid on the above.
Management – We have created a True Vested Interest, through our Management Agreement structure. We guarantee to source, manage and maintain the portfolio. You own 100% of the property however we are placed with a 25% interest on the profit of the property when it sells. This assures the bonding of the relationship and creates that all-important ‘vested interest’ for the life of the project. You have an option to buy our 25% equity stake at any time. Should this continue for 20 years we will then ask you to buy our percentage. We will of course continue to manage the portfolio to the same level, with just the value bonuses as payment. This ensures that the property as a whole can always at your full disposal.
You can be as involved or as lassie faire as you prefer. Your portfolio, your income and your future are safe and hassle free.
Contact us for more information and start your property journey.