sarah1 Posted September 7, 2006 Report Share Posted September 7, 2006 hi i have just come into some money and would like to invest in property to rent. i have about £60'000 and want to know if it would be better to invest in one property or divide the money between two properties Link to comment Share on other sites More sharing options...
Trenners Posted September 8, 2006 Report Share Posted September 8, 2006 Hi Sarah, It is always better to invest in more than 1 property if you can afford it. If you only invest in 1 property then your buy-to-let investment is either LET or EMPTY which means you are either receiving rent or your are receiving nothing ! By investing in more than 1 property then, once you get going, it is very unlikely that all the properties will become empty at the same time. If I had £60K to invest then I would try and get 3 properties (with a £20K deposit on each property). Before you buy do some research. Think very hard about who your target TENANT is. Students ? Young Couples ? Families ? Don't buy something because YOU like it ... buy something that your TENANT will like. Make sure the property is close to shops (this is known as the pint of milk rule) and don't pay for "owner occupier features" like sea views, view over fields etc etc as tenant don't usually care. Only buy property that will yield a minimum of 5% per year. In other words if the total rent per annum divided by the cost of the property is less than 5% don't buy. Finally, take out interest only mortgages and not repayment mortgages. Good luck, Mark Link to comment Share on other sites More sharing options...
nick c Posted September 8, 2006 Report Share Posted September 8, 2006 Hi Sarah1 That is some fantastic advice from Trenners, we have alot of property developers and agents as partners on Residential Landlord, see here - http://www.residentiallandlord.co.uk/newdevelopmap.htm. If you would like some more information and contacts please email me. nick.colthorpe@residentiallandlord.co.uk Partnership manager 01322 286386 Link to comment Share on other sites More sharing options...
2bletting Posted September 10, 2006 Report Share Posted September 10, 2006 Why interest only mortgages? is it because you can offset the full payment against income? BL Link to comment Share on other sites More sharing options...
F-Prop Posted September 10, 2006 Report Share Posted September 10, 2006 I have interest only mortgages simply because this is an investment business and I'm not intending to keep the properties, I have interest only to lower the payments and increase the profit per month. Trevor. Link to comment Share on other sites More sharing options...
wolveslandlord Posted September 11, 2006 Report Share Posted September 11, 2006 Hi Sarah. You should try and call a company called Landlords Only. I was in a similar situation as you, and the guys there took their time and guided me to 4 property's within 2 months. They advised and quilified me in the best possible way for property's. The web address is www.landlordsonly.co.uk you can get the contact details from that site. I already had 3 property's before I purchased the other 4, and they even assesed the current situation on those propertys and got me better deals. I would advise all Landlords to try them out and get their current propertys assesed too. Good Luck. Link to comment Share on other sites More sharing options...
Melboy Posted September 11, 2006 Report Share Posted September 11, 2006 Hi Sarah. You should try and call a company called Landlords Only. I was in a similar situation as you, and the guys there took their time and guided me to 4 property's within 2 months. They advised and quilified me in the best possible way for property's. The web address is www.landlordsonly.co.uk you can get the contact details from that site. I already had 3 property's before I purchased the other 4, and they even assesed the current situation on those propertys and got me better deals. I would advise all Landlords to try them out and get their current propertys assesed too. Good Luck. ...........and of course this wouldn't happen to be your website and business by any chance............ would it? Link to comment Share on other sites More sharing options...
wolveslandlord Posted September 11, 2006 Report Share Posted September 11, 2006 No honestly, they're pretty good to deal with. Very helpful. I was introduced to them by a friend. Link to comment Share on other sites More sharing options...
sarah1 Posted September 14, 2006 Author Report Share Posted September 14, 2006 thank you for taking the time to give me your advice i will look at the web sites suggested thanks again Link to comment Share on other sites More sharing options...
derekmilligan Posted September 16, 2006 Report Share Posted September 16, 2006 Hi Sarah1 Always try to buy as many properties as you can. I would recommend investing in Scotland (and thats not only because i live there) but because the yeilds are better and growth is on the increase. Most of my properties i attain a 10%yeild and good growth. I always buy lower end of the market things that cost 40k approx with a BTL mortgage you put down 15%max = £6000 with the thought that you might have to spend £1000 on carpets and paint. All my flats let out very easilly and alot are on DSS but that is a good thing from my point of view as the tenants seem to be long term and rent is guaranteed. I know of some landlords that are selling TENANTED PROPERTIES on the market, so your start earning from day 1 of ownership. If thats something that might be of interest to you than give me a call on 01236 738928 - please note that i am not touting for business but i have a very good set up and can help any new starters. I have to add this aswell the reason that i come accross this is due to the fact that i am a letting agent and can offer letting at a very good rate of 10%. If you require just some help or advice just pick up the phone advice is always free and besides i like helping. Derek Milligan Link to comment Share on other sites More sharing options...
Melboy Posted September 16, 2006 Report Share Posted September 16, 2006 Derek........ Unfortunately 40k doesn't buy you a Shiplap Garden Shed in Southern Britain although I do know of a Beach Hut 10x8 going for £27,000 on Portland Bill. It would have come in at a higher price but it doesn't have a Sea View!!! Property here for Landlords is hardly worth going in for because the earnings to value renting price is not worth the hassle........at present. More money to made on the Stock Exchange or from a high interest savings account.....at the moment.....but this could all change in the near future. Mel. Link to comment Share on other sites More sharing options...
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