The win-win of home refurbishment Joint Ventures

If you are facing repossession, the future can seem bleak. Mortgage arrears can spiral out of control, leading to the loss of your home, not to mention the damage to your credit rating. However, there are creative solutions out there and one that not only halts repossession but can also turn your challenging situation into a profitable venture. Introducing the “Joint Venture” or JV, an agreement with a partner willing to invest in the refurbishment of your property and splitting the profits after the lender has been paid.

A JV partnership involves teaming up with an investor who can provide the financial backing necessary to bring a property back to its peak condition. This investor, or JV partner, agrees to cover the mortgage arrears, take over the ongoing mortgage payments, and pay for the costs of refurbishing the property. Once the refurbishment is completed, the property is sold at a higher market value, the mortgage is paid off, and the profits are split between the homeowner and the JV partner.

The benefit for the homeowner is the sudden stop to repossession proceedings. By paying off the mortgage arrears, the JV partner gives the you a much-needed breathing space and the chance to avoid the negative consequences of repossession. If you are struggling financially, finding the funds for necessary refurbishments can be impossible. A JV partnership removes this barrier, as the investor covers all associated costs, including the refurbishment expenses.

Instead of losing your home with little to no financial return, you stand to gain a share of the profit from the sale of your refurbished property. This arrangement can provide a significant financial boost, helping you to move on and start anew. By stopping repossession and ensuring the mortgage is paid off, you can avoid the severe impact that repossession has on your credit rating, as preservation of your credit rating is so important for future financial opportunities.