looking for first investment property.

EJW · Joined: 27 Oct 2006 Posts: 2

Help! Spent the last couple of months reading books and checking out websites and have ended up confused. I have 50k to invest and need income aswell as capital growth. Is it best to buy at auction, refurbish and sell on or go for the buy to let route? Any advice would be greatly appreciated.
Thanks
Elaine

ksryan · Site Admin Joined: 12 Oct 2006 Posts: 7

Elaine

This is a very tricky one in todays climate, the only way to be sure to get an income is the BTL route. You need to understand the market place to make sure you get a good Yield. anything above 5% is about right today and there are properties that give yield of 10 / 12% but are very hard to find.

If you become a member of this site we offer a free mentor service, if not we can always advise but will be on an ad-hoc basis.

To get BMV properties we are also starting a LOCATORS service which will cost £200 for a years membership. We will source properties on this basis.

Hope this helps... If you need any further advice please let me know.

Property Team

chris · Posted: Sun Nov 05, 2006 7:10 pm Post subject:

beware of sites that say they source bmv properties for an annual .you could be fighting with other investors for the odd property ...better to pay a finders fee on completion ...

many people setting up websites and taking subscriptions and its difficuilt to prove they dont deliver...

as well as being a property investor i was looking to work on a casual basis and registered with a so called courier company wo helld a database of people to do jobs in various locations 29.99 per month to be on their data base 2 months up front i registered avaiable 24 hrs a day 7 days a week ...2 months down the line no calls 60 quid worse off they say its not there fault if there was no work about at this time..

i subscribe to a site that lists all auctions in the uk

i could use their info to set up a web site providing details of bmv properties all over the country and just copy and past their info

i could charge what i like per calendar month for membership and i would be fullfilling my legal obligations and take money from people who want someone else to do the leg work for them...

this is just an example but i think you are better of paying a finders fee on completion even if its a couple of grand as you can factor this into your refurb costs than paying a monthly fee..it may not be much but some one only has to get a few subscribers to have a nice pacive income

THAT IS SO NEGATIVE A POST BUT .....MANY PEOPLE HAVE MADE GOOD MONEY OVER THE LAST 10 YEARS OUT OF PROPERTY AND THE MARKET HAS CHANGED ..THEY NOW MAKE MONEY OUT OF TELLING PEOPLE HOW THEY DID IT.....

I have been going for 6 years doing ok and i will tell you and help you if i can for zilch as i am passionate about the subject and love the sound of my own voice LOL

GOOD HUNTING

ksryan · Site Admin Joined: 12 Oct 2006 Posts: 7

Nice post Chris, but not everyone has the time and inclination to find BMV and in our opinion we find paying 2/3% finders fee way to high for something that sourcers can then walk away from.

We offer BMV sourcing for £200 a year and do NOT send people Auction properties. We source off market and have a very sound strategy.

But you know horses for courses Chris, not everyone is able to spend the time finding properties for themselves so we do provide a valuable service.

As you are so passionate about property / investing we invite you to write for us and are happy to give it front page space...

Look forward to hearing from you.

Surprised

Property team

chris · Posted: Mon Nov 06, 2006 10:10 pm Post subject:

hi ksryan/admin

I would love to be able to help others and write ..

i have no experience of this but will always have a go... one thing that bugs me is that there are quitw a few forums like this about and a lot of people look for info which i have no problem helping where i can. as soon as the forums become well populated they tend to get used as amarket place.

canyou tell me how you take subscriptions annually or monthly as 200 pounds is very reasonable for a sourcing service. obviously if you have a large number of subscribers and a limited number of deals we will be fighting each other for the best ones.

are your sourced properties new, off plan or second user... what sort of discounts to market value are you getting and what areas are you sourcing in as my target area is only within 1 hour drive of my home in north kent..

my problem is that although i am coming across bmv properties in need of refurb the yields are still poor...

my latest is a 2 bed bungalow asking 120 needs updating end value 140 to 150 depending on how bouyant the market.. will not rent for more than 600 per month so yield is poor. possible fix up and sell....

I started out finding my feet the hard way and after purchasing the next 3 i paid for the russ whitney course, then did further training on distressed property with them where i spent 3 days in east manchester looking at boarded up terrace houses....perhaps there`s a story here...

ksryan · Site Admin Joined: 12 Oct 2006 Posts: 7

Chris

I want real life experiences on my site and not just the same old waffle that so many other sites offer, I want my site to be a member site and not just run by me for £££ only.

Cheers
Kevin

chris · Posted: Wed Nov 08, 2006 9:44 pm Post subject:

kevin

not sure the point you weremaking in this post your membership fees at 200 pounds would be very reasonable ...if youare soucing bmv properties off markeyt and there are enough to go round...

as requested can you tell me whether you take an annnual up front fee, the areas you are currently sourcing in ( generally ) and what kind of discounts you are achieving.

how many members do you have to date...

can we offer property for sale on here or can you extend the forum to offer this service or can i give you details of any properties i might want to sell or source and cant follow up myself ??

i sometimes buy and refurb with the intentio n to sell on but i am small fry and can only carry no morethan one or two projects at a time so some times mis out...if i come across these and other investors are interested could a service be set up to help each other in our own areas or project manage for a fee...

or run a site where we reciprocate ....i am fully in favour in developing this kind of community...if i find deals i cannot follow up mysel i am happy to pass them on at no charge.
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ksryan · Site Admin Joined: 12 Oct 2006 Posts: 7

Chris

yes yes and yes, I am happy to discuss post and promote any members properties at no cost.

If your a member I will make available the opportunity for you to post your property for others to see.

Although I will ensure that it remains a free service to members as I don't want people selling their properties on the members site.

As for the rest of your question, we will be anouncing our strategy very soon. It will cost £200 per year and ys you will be able to pass on properties if offered to you at no cost.

Hope this helps clarify a little more, sorry we cant be more specific as we don't want to release our strategy for Ajay etc to start using it.

Regards
Kevin

Nigel M · Joined: 07 Nov 2006 Posts: 4 Location: Brighton. UK.

I assume that when you say you are announcing your strategy soon, you will put in on your website?

I will be interested to see how it works. Paying a 1 off fee of £200 for genuine BMV deals is a good deal and I would then be thinking how is it you make your moneny.

Unfortunatly I guess it is hard for you to not get 'tarred' with the same brush as 'I*side Track' and the other ripp-off artists that have jumped onto the bandwagon. Confused

Nigel M

chris · Posted: Fri Nov 10, 2006 10:13 pm Post subject:

anyone interested in a 1 bed flat that will yield 7% plus.

cheap to get into ...on market for 69995 will rent at 400 pcm plus

with 15 % deposit you need 11.5k deposit and legals unless we can get it cheaper for you...

based on market price you would have a morgage 59.5k ..5% interest only should only cost 250pcm so 150 plus pcm positive cash flow is possible..

I would probably go for this my self but i have a project on the go at the mo which has tied up all my working capital....

if anyone is interested i will put you in touch with the estate agent for free or i will negotiate to try and get a reduced price ...and help where i can for a flat rate 500 pounds.

if you are outside the area i will also offer a tennant find service and manage the letting for 10% no vat and no tennant find fee...tennant should pay refference charge and ingoing inventory ..when tennant moves out lanlord pays closing inventory fee .... this should save any haggling over deposit.

we would have to talk first about what kind of tennant you will accept..working or dss etc.

i manage my own property in this area and this would be my first venture into managing for some one else.

i promise an up front honest service.

I am not sure if I am breaching the conditions of this site but it is not intentional i am not advertising or promoting any one else`s service if you want to do it yourself i will give you the details but my time has a value ..its your decision
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chris · Posted: Fri Nov 10, 2006 10:35 pm Post subject: sit eprotocol

Kevin, site administrator

kevin please post to let me know if this is ok.....

i am not trying to build a business here but as i said if i come across some deals i will share them for free or i will help but depending on what people want i may need to cover my costs and time.

the flat i am referring to is in sheernwss kent anyone can probably find the details by doing an internet search...

sheerness docks is the biggest importer of fresh fruit in the country , they have just signed a contract to open a passenger ferry servic eto the continent..with the 2012 olympics coming up and the improving infrastructure in the rail network to ebsfleet international rialway station jobs are being create and this area comes within the regeneration funding for the thames gateway

i think there is scope for good capital growth ....
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EJW · Joined: 27 Oct 2006 Posts: 2

Have made my first move. Put in an offer on a house in Hull, still awaiting answer from estate agent. The most difficult part at the moment is getting into houses. Estate agents don't turn up or the tennants are not in when you get there. My big question at the moment is how do you find these below market value properties? Guess this just shows how much of a newbie I am at this. All comments and tips most welcome.
Elaine

ksryan · Site Admin Joined: 12 Oct 2006 Posts: 7

Chris

Happy for anyone to post properties that help others, what i wont tollorate is off planners doing it.

I Have created a section for people to do this so if you could post them in there it would be appreciated.

Regards
Kevin

chris · Posted: Sat Nov 11, 2006 10:41 pm Post subject: properties for sale

kevin

thanks for the reply ...i see the section

i am not selling any properties myself and i do not get innvolved in off plan what i will post will only be deals i have come across that look like they fit the bill..i will give contact details and let anyone look it up....

no fees just trying to help

in response to where do yu fiind cheap properties well you need a motivated seller and sometimes you will be surprised.

i looked at a one bedroom flat just around the corner from me yesterday

it was up at 85K had quite A lot of interest in the past couple of months but no offers..... i offered 75k which was initially declined ...surprise today the agent caleed me and asked if the offer still stood and if so they would accept it..

well i now have a cheap flat......it always worth making what may seem like a silly offer you never know your luck.
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master01 · Joined: 03 Sep 2007 Posts: 1