New Build in Urmston.

This project was carried out by one of our repeat clients, testimonial below.

My name is Sean Higgins and I have been a self employed FMB Masterbond Builder since
I completed my apprenticeship in Joinery in 1981. Over the years I have worked on
commercial and domestic projects with a job value from anything between £1000 to
£250,000 and earned a good steady income.

Although I enjoyed working with existing customers, I decided early last year that it made
far more sense to build my own houses, as I was really fed up with having to compete on
very poor prices for work and I also believed that when VAT went up to 20% it had ruined
the domestic market as the customer could not claim the VAT back and this made getting
work even more competitive, and harder to achieve good quality work at the right price.

So my plan was to sell my own house, go into rented and use my capital of approximately
£180,000 along with a bank loan to start building my first detached house. I needed
around £50,000 to live for at least one year without income and I could use the rest along
with a loan to complete my first project. When I approached my bank who I have banked
with for a great number of years it became apparent that they had NO interest in
supporting my new build, no matter what the loan to value (LTV) was, as they and all other
high street banks had withdrawn from this market completely, unless you were a major
established development company with years of experience behind them. So now matter
how much I invested, and no matter how safe their money was (LTV) the answer was NO.

Not deterred, I then started searching around for a company who would support me on my
plan and the only company I found that specialized in self build projects not to live in, but
to sell on for profit was Richmond Securities. My first point of contact was Tim
Blackledge and I told him of a piece of land I wanted to purchase in Urmston, Manchester
and it had planning permission for a 4 bedroom detached house. He asked me for the
total cost to purchase the land and the estimated build cost and how much I wanted to
invest in the project. The land was £115,000 and the build costs were £125,000 with a
sale value of £400,000 when completed. I proposed that l would buy the land and I asked
them to fund the build, to which within 24 hours they agreed to in principle, subject to a
valuation from their surveyor. Within a few weeks prior to buying the land Paul Newsham
the head underwriter came to the site to see the project for himself and there and then
said I could have the money, and I can assure you it was as easy as that. I felt totally
reassured that he could see that a £125,000 loan against a LTV when sold of £400,000
was a easy decision to make for both parties, so why can’t a high street bank see that. I
thought if this works as easy as this I won’t need to deal with a bank ever again.

So to cut a long story short, I bought the land on 28th September 2012 and then agreed
and accepted a loan of £125,000 to be paid in 4 stages over the job in advance. The first
payment of £45,000 was paid the first week I started the job and this allowed me to forge
ahead at full speed with no meney worries and the second payment of £30,000 was paid
after survey when I reached wall plate. I am now 84 days into the project and I have just
had my second survey to release £25,000 for the first fix and then I will draw down the final
payment of £25,000 to complete the house. The last time I requested a stage payment the
money was in my account within 48 hours of the survey.

I have always kept Paul Newsham informed on a fortnightly basis of my progress by email
with photographs and phone, although he has not requested this, but I’m sure he
appreciates it, as I want to build a trusting relationship so Richmond Securities will support
me in more projects over the years to come. By having the money available to build I have
saved on materials and labour, as I can negotiate good purchasing deals with instant
payments to my suppliers.

I can honestly say that I am delighted that I have forged this relationship with Paul, Tim
and everyone at Richmond Securities as I know that not only will it benefit them, but more
importantly it will allow me the opportunity to eam a six figure sum on every project I
complete, doing a job I really enjoy without the stress of finding and supporting customers
on a daily basis.