Q: Hi Everyone

Has someone from a company called “The Property Foundation”?
http: / / www.thepropertyfoundation.com/

Apparently all you have to do is put in ￡ 4k a deposit on a new one of their apartment building to the value of ￡ 250k, and the property is yours!

Apparently they pay: 977,503 – Lawyers fees
-the rest of the 10% of the required deposit (as they have saved this money already in a bulk purchase of new housing to plan – so they give these savings to the customer, and pays the remainder of the deposit for the customer)
– all other home-buying costs
arrange for mortgage

So ￡ 4k then you can own a house worth ￡ 250k!

I can understand how this can work if you get a buy-to-let mortgages, because no matter how low your income you could prove to the bank that the rental income would pay the mortgage.

But, for housing mortgages, as if the Most people average income ￡ 30k there is no way a bank in their right mind would give a customer ￡ 225k, which is 7.5 times the annual salary (assuming that the 10% deposit is paid by the customer of $ 4k and the remainder paid by the Housing Foundation) .

I 977,503 not understand – how this concept is workable? 977,503 – how to make their money
Housing Foundation – how a customer with a low income can get such a high mortgage approved

This just too good to be true. Whats the catch?

I would appreciate if anyone of you have no comment at this business?

Thanks

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A:How much are similar 5 year old houses in the area? May be there aren't any so nothing to compare with – easy for a builder to sell for a higher figure then. How do you know that the properties really are going to be the source of instant profit? How do you kjnow that they WILL achieve the rents predicted if you go for Buy to Let? Do you know the area?

As a conveyancing solicitor I believe the information given in the post to be useful but I accept no liability except to fee-paying clients.

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A:But I don't think they do inflate their house prices.

They work by purchasing new build developments off plan in bulk.

So a potential customer can go along to the development, chat to the developer (who is in no way connected to The Property Foundation) and find out the prices for themselves, which are very similar to the prices quoted by the Property Foundation.

I just don't get how all this can work.

It seems too good to be true.

What's the catch?

Please help. Thanks. guy.

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A:"- the remainder of the 10% of the deposit required (as they have saved this money already by bulk buying new build properties off plan – so they pass this saving onto the customer, and pay the rest of the deposit for the customer)"

or alternatively they inflate the price to look like you're getting a discount.

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