Talking about property sourcing in theory is useful up to a point. Looking at a real deal with real numbers is far more instructive. This video analyses a genuine property that was available at a significant discount to its market value, and walks through how a property sourcer could identify, package and earn from an opportunity like this one.

The Deal: £94,000 of Equity Below Market Value

The property in this example was available at roughly 20 per cent below the assessed market value, representing approximately £94,000 of immediate equity for a buyer. That is a significant discount on the open market, and exactly the kind of opportunity that a well-positioned property sourcer can identify and present to investors.

The question this video asks is a practical one: if you could source a deal with £94,000 of equity built in, what could you charge as a sourcing fee?

How Sourcing Fees Are Calculated on Deals Like This

Sourcing fees are not arbitrary. They reflect the value delivered to the investor relative to what they could find themselves. On a deal where the investor receives immediate equity of £94,000, a sourcing fee of £3,000 to £9,500 is not unreasonable. The exact figure depends on the relationship, the deal complexity and what has been agreed in advance.

Even at the conservative end, a fee of £3,000 on a deal like this represents excellent compensation for the work of identifying, negotiating and packaging the opportunity. At the higher end, it is exceptional value for the investor who receives tens of thousands in immediate equity in return.

What This Shows About the Property Sourcing Opportunity

Deals with this level of discount do not happen every week in most markets, but they do happen. Properties that have sat unsold, vendors who need to move quickly, estate agents who want stock off their books, all of these create the conditions where a motivated, well-prepared sourcer can find genuine value that others are walking past.

The skill is in developing the eye for it: knowing what market value looks like in your target area from comparable evidence, recognising the signals of motivated selling, and approaching the opportunity with a credible, evidence-based offer.

Learn to Analyse and Package Deals Like This One

The complete deal analysis and packaging process is covered in our property sourcing training. From identifying opportunities through to presenting them professionally to investors, the training gives you the framework to turn situations like the one in this video into real sourcing income. Available for just £57 with an independent industry award. Find out what is inside the training here.

Rightmove is one of the most useful tools for tracking asking prices, time on market, and comparable sold prices in your target sourcing area.