Investment strategy
Refurbishments
Tired or dated property bought below its finished value and improved before letting or sale.
What refurbishments means
A refurbishment project is bought with work priced in. The aim is to improve the property, add value, and either refinance and hold or sell on completion.
Who it may suit
Investors with access to funds for works and the appetite to run a project, either directly or through a trusted local team.
What Westwood looks for
- A clear gap between purchase price plus works and realistic finished value
- Cosmetic and layout improvements ahead of structurally complex projects, unless briefed otherwise
- Evidence of comparable finished sales or lettings on the same street or estate
- Access, tenure and condition issues identified before offers are made
Key considerations
- Works overrun on cost and time more often than they come in under
- Finance costs run throughout the project, not just at purchase
- Finished valuations are opinions, not certainties
How we present the numbers
- Purchase price, refurbishment estimate and end value modelled separately
- Contingency shown explicitly rather than buried in the works figure
All figures are estimates prepared from local evidence and are subject to your own due diligence, survey and valuation. We do not guarantee returns and we do not provide financial, tax, legal or investment advice.
Where we source this strategy
Other strategies
Compare this against the alternatives.
Most portfolios end up using more than one approach. We will be straight with you about which fits your position now.
Speak to Westwood
Looking for your next property investment?
Tell us what you are trying to achieve and we will tell you honestly whether we can help, and what we would look for on your behalf.