3 ways to become a property millionaire - Touchstone Education

3 ways to become a property millionaire – Touchstone Education

hello welcome to this week's edition of money matters because after all money does matter I hope you are very well and I am Paul Smith from touchstone education let's get right into this what I want to talk about this week is property investment strategies that work specifically three property investment strategies that work I want to look at one property investment strategy for beginners one what we might call intermediate investors one for more advanced investors simple entry-level property strategy make money with none of your own money how does that sound the first one I want to talk about is deal packaging so simple what you do is you book yourself in to do 10 viewings a week so get a good relationship with a local estate agent and be nice to them tell them that you like to go and view some properties and you'd like to view a number of properties every week please because you represent a number of property investors if they can help you find the right deals you can help them get a lot of sales because in estate agents are typically remunerate it for two things they get money for two things that gets money for sales and money for viewings and you need to put offers in here's the next thing I'm going to say that from the ten ones that you view choose your favorite four and put in offers on the top four now here's the thing you're not actually gonna buy these properties you're going to source them on you're going to package them for other investors because if you can find a right good deal below market value there's a really simple set of templates and formulas that we can give you and if you come along to one of our six-figure summits will actually give you this for free will actually help you for free we'll work with you for like three hours like half a day almost showing you how to find good properties showing you how to analyze the deals and showing you how to write that up so that you can offer them on to other people and by the way typical deal packaging fees two three even four thousand pounds per deal because if you can help an investor get a property for I don't know 10 20 30 grand worth less than its market value then what you're doing is worthwhile isn't it and they'll pay you for that because you're doing the legwork that they don't have to so go and view ten properties make offers on four all of them and that should get one off for a week accepted think about this if you're new to property you haven't got any money and you don't want to take the risk operationally because you don't know anything about property and you're just learning what could be better making 3 grand a week but not actually owning any property you need to comply you need to do a few registrations property ombudsman whatever 19 I quit a year and whatever but that all of this you can learn really simply all of it so your entry-level strategy deal sourcing deal packaging people all at different things learn how to do it learn how to understand where the deals are solve people's problems for them make 3 grand a week laughs that's what you did there's 50 weeks in a year I take some time off chill out in Lanzarote get yourself down to Mauritius do what you want I'm gonna say you're gonna work 40 weeks of the year and you're gonna do ten viewings a week ten viewings a week should take you a morning or an afternoon so four hours a week whatever and another four hours a week writing them up making a few phone calls only to work one day a week forty deals a year three grand a pop 120 thousand pound of you does that sound all right sounds all right to me so that's one of the things that I used to do now I don't do it so much now the team does it let's move on to an intermediate strategy where you actually gonna not own but you're gonna operate the property what we're gonna talk about now is we're gonna talk about rent to rent so what that means is you actually not gonna buy the property you're gonna rent it and then you're gonna rent it on for more money than you're paying so here's your intermediate strategy learn how to obtain properties on a rental basis in a completely legal compliant way with full knowledge full disclosure to everybody and I'm gonna say you're gonna take word I know a three-bedroom house and a three-bedroom house might cost you 700 pound a month in Doncaster a nice detached one with a garage and a drive and a gold and everything 7-under kinda month to rent now what you're gonna do is you're going to learn about the basics of service accommodation and you can put it on Airbnb booking calm and everything else like that and you can rent it out for hundred whoa 100 pound a night 30 nights in a month 3,000 pounds at P days 3,000 pound income but only 700 pound in rent is that legal yeah if you do it right can pretty much anything in life be illegal yeah if you do it wrong it's driving legal mm-hmm yeah okay is it is it legal to drive a car the wrong way down the m6 on the hard shoulder at night without the lights on with no insurance no uh no MOT 147 miles an hour in Reverse no there's plenty of people out there that will try and convince you that Renta rents illegal it's not doing it wrong is illegal I'll tell you what shouldn't be illegal but isn't being stupid that should be illegal but if being stupid was illegal half the population in the UK would get locked up everything everything can be done legally so learn how to do it and that will make you ran about a thousand pound for property per month if we want to learn how to do that make profit from properties that you don't own then go check out the book but that's the title of a book by a bee and gaudy a bee hook way Gordie Duck field and that's a fantastic way to learn now let's take a more advanced strategy how can you make money from a more advanced property strategy in some ways it is in some ways it isn't and I talk about commercial property one of my absolute favorites it's like an empty shop or office dead cheap because he's empty before you buy it agree a lease with a company slightly more complex because they don't value it on a bricks-and-mortar basis they're valued on a the investment value of the lease so I need to spend a couple of days with you to explain that and how it all works but essentially by empty box but don't actually buy it agree a lease with somebody and on the day that you're gonna buy it put the tenant into it or get them to sign the lease the commercial lease you don't get any value from the bricks and mortar that's north in the manual and all the banks lend the money on this is commercial finance now they're more of a strategy the thing that's got value is the lease so on the day that you buy it you create the value by putting the lease in place it's a piece of paper for Christ's sake that is what the bank lends on so at the moment we've made an offer on a bank I actually don't know as I'm sitting here talking to you whether I'm gonna get it or not this is a Santander bank they've moved out last month I've offered two hundred and sixty-five thousand pounds for it empty if I get it I'm gonna put Starbucks in it Starbucks will pay me 35 grand a year five percent yield don't bore you the details it will suddenly be worth seven hundred thousand pounds I can borrow sixty seventy percent of the seven hundred thousand I could pour a half a million in for one but I only buy in the building for two hundred sixty five so I can easily borrow the entire cost of the building based on the lease that's a more advanced property strategy so I hope you've enjoyed that three property strategies that work any one of those strategies and many more strategies I'll be delighted to talk to you about the touchstone team of it lights talked to you about so please feel free to you know carry on watching these money matters videos every Wednesday keep your eye out if you want to go along to our touchstone website touch down education co uk and just sign up to our mailing list at least twice a month normally three times a month we do completely free webinars and a whole range of property subjects if your money matters is of interest to you please like it share it subscribe to it I just spread the message get that message out there because I want to make as many people financially free as I can and I need your help to do it and I know you're not one of the stupid ones but you're watching this anytime someone's telling you it's illegal just think about it why they telling you that sounds good to be true for such a good idea how come not everybody's doing it holding your mind forever make this commitment to yourself now only 5% of the people in the UK investing property five percent of the population in the UK are millionaires I ain't stupid learning how to invest in property is one of the best if it's the best decisions you're ever going to make thanks for watching thanks for your time really appreciate it help me get the word out you've been wonderful I've been poor see you next time you