What is a property sourcer?

Property Deal Packaging provides property sourcing services that are geared towards delivering the maximum returns on investment possible from UK residential properties for our clients. A property sourcer in general researches a range of available properties to find the best in terms of investment potential.

Property deal sourcers then negotiate with the seller or their agent to acquire the property at the most advantageous price for the investor so that they can maximise its profit potential.

A property sourcer’s responsibilities include:

• Creating an investment strategy.
• Researching specific locations.
• Generating leads, which could include agents and property owners.
• Negotiating with property owners and agents to get the best possible prices.
• Analysing deals to check profit potential.
• Making offers.
• Handling ongoing deals until completion.

Because Property Deal Packaging sources property on behalf of investors for a fee, we are fully compliant and registered with The Property Ombudsman, the Information Commissioner’s office, and HM Revenue and Customs. We are also covered by Professional Indemnity Insurance.

Property sourcing is not an easy task. It takes training and experience to understand deals worth taking on and investments worth putting money into. So what characteristics do good property sourcers need to have?

• Manages time efficiently

A good property sourcer knows how to manage their time efficiently. They know which activities matter the most and where best to apply their energy.
Property sourcing involves numerous meetings, extensive research, and a great deal of data analysis. If the wrong areas are prioritised, they could miss out on leads, lucrative deals, and, of course, money.

• Understands how investments work

When it comes to property sourcing, you’re not just thinking about your own costs. Your responsibilities are to secure the best opportunities and profits for your clients. If a property sourcer has little knowledge of how money works in an investment context, then not only will they lose money themselves, but they are also putting clients’ interests at risk.

Property sourcers in the UK must have a firm grasp of how investments work, especially when it comes to properties. They need to know how to weigh the risks and help their clients decide which are worth taking. They must be able to strategise with optimal results in mind.

• Knows how to manage expectations

A property sourcer needs to be able to manage their own expectations, as well as the expectations of their clients. When it comes to investments like this, the results don’t come instantly. Profits accrue over a certain period, and there is much work needing to be done behind the scenes to effect this. Property investment is not an “easy cash” project.

All investments also inevitably come with several risks; it’s a matter of accurately gauging which of these risks are worth taking. Because clients need to be able to make informed decisions, property sourcers must be upfront with them about all possible scenarios. 

Beware a property sourcer that paints a perfect picture; that is both unrealistic and irresponsible. Clients must be advised about potential losses as well as potential gains.

• Patient and logical

It’s widely acknowledged that property is still one of the safest and most consistently performing investments. There is an opportunity to make a great deal of profit from properties – provided you know what to invest in and how to wait for the right time to act. 

There is no room for impatience in this field because it often takes time before a property starts bringing in the desired returns. Consistent work behind the scenes is also critical.

There is a tendency for some to become so distracted when they see a great deal that they end up dropping the ball on the other deals that are in progress. This not only jeopardises their profit potential – it also jeopardises their reputation, something that they need to maintain if they expect to grow success in this field.

Impatience can also result in illogical decisions, which leads to greatly heightened risks in this field. In an industry where numbers and trends matter, it’s important to trust the data.

Property sourcing is a delicate and complex craft, so if you want to be sure you are investing your money in worthwhile projects, it’s important to find a professional and legally compliant property sourcer who has all these characteristics.

Some clients may be tempted to go their own way and find deals on their own. While this is an admirable initiative, it’s difficult to be successful in this environment, especially if you have neither the time nor the resources to make this a full-time endeavour, as the professionals do.

The benefits of working with a professional and compliant property sourcer by far outweigh the disadvantages.

Because property sourcers spend years in the field building their network and generating valuable leads, they can find the best deals that aren’t immediately obvious or accessible to mainstream investors. 

They have the right connections and have built a strong rapport with them, from estate and letting agents to property managers. Because of these strong working relationships, closing satisfactory deals is much easier for them than it would be for someone new to the landscape.

Through their vast experience and intensive study of market trends, they have also developed a kind of sixth sense as to which properties will be more profitable than others. They see numbers rise and fall regularly. 

They can identify certain patterns that are not as easily visible to others, so are able always to identify worthy investments, regardless of the current market. Remember that the returns here are not instant – you need a great deal of foresight to see which numbers will rise over a given timeframe. That’s a talent a great property sourcer has.

Compliance is also critical, as investors need to be sure that all investments are legal. A professional property sourcer understands that being registered and affiliated with the right institutions is the best way for their business to grow – which, in turn, will grow their clients’ investments as well.