Franchise Partner featured on BBC1’s Homes Under the Hammer

Platinum Property Partners (PPP) Franchise Partner, Gertie Owen from South London, appeared on BBC One’s Homes Under the Hammer.

Gertie joined PPP in 2011 after spending 20 years looking after her children and being, in her own words, “a lady of leisure”. Since joining PPP she has purchased and converted three properties in south London into PPP HMOs (Houses in Multiple Occupation).

Gertie was featured on the flagship daytime BBC1 show buying a four-bedroom semi-detached Victorian house in Penge, South London at auction. Gertie bought the house for £285,000. Using the tried, tested and proven PPP investment model and with support from PPP every step of the way, she developed the property into a six-bedroom HMO. There are four double ensuite rooms and two single ensuite rooms.

On the show, she explains that although the property would normally rent for only £1,600 per month as a standard family residential let, following the PPP model increases this to at least £3,500 per month, providing high-standard, rented accommodation for young professionals. Since the show was aired Gertie is now letting a sixth bedroom which has increased the gross monthly rental income to £4,200 per month. This means that following the PPP system, Gertie is receiving £2,600 more rental income per month (£31,200 per annum) than would be achievable on a single occupancy basis. After allowing for additional costs like utility bills, council tax and cleaning, Gertie still receives £2,100 per month (£25,200 per annum) more revenue than renting the house as a single unit to a family.

“The thought of undertaking a project of this type without support is extremely frightening. What the show doesn’t cover is just how safe and profitable the PPP investment strategy is. In addition to the fantastic cashflow, PPP has also helped me to recover money invested in the property. I paid £285,000 and spent £80,000 on refurbishment, so I was in for £365,000 before stamp duty and completion costs. The estate agents on the show believed that the property would be worth £350,000 as a family home but as a PPP HMO I would get £400,000. This proved to be 100% correct. It was surveyed after refurbishment by my mortgage company and this allowed me to recycle a good percentage of the cash I invested. The enhanced capital uplift (or forced appreciation as PPP call it), is just one of many less obvious benefits of the PPP investment strategy.”

Even Lucy Alexander, the Homes Under the Hammer co-presenter, warmed to the concept of PPP once she revisited the property after the works had been completed. In her words: “I can see why people would find joining a franchise appealing due to the help, advice and contacts and the ability to really maximise potential as far as rental income is concerned.”

Total Portfolio Value: circa £1.2 million

Annual Rental Income: £151,199

Annual Operating Profit: £70,194