In this week's show, Simon talks you through how to conduct your due diligence when investing in property - one of the most important and fundamental processes in ensuring that costly errors are avoided.
Due diligence allows us to recognise a good deal, but also to help us recognise a bad deal. Through careful evaluation, we can make sure that expensive errors can be avoided.
The very first thing to think about is the area in which you wish to invest. Initially, you will want to stick to an area you know well.
Consider the type of tenant you hope to attract. Families may require better locations near schools. Students may require entirely different amenities. Always think about who you're targeting.
When calling a letting agent in order to determine demand, instead of saying you're a landlord, pose as a potential tenant as you'll get a far better idea of availability and price.
'You can invest remotely. You'll just need people on the ground who also know the area really well'
'If you don't do this correctly, you could make some expensive mistakes'
'Is this property in an area of strong rental demand?'
'We only buy properties that give us cashflow!'
Property Magic: How to Buy Property Using Other People's Time, Money and Experience by Simon Zutshi
To find your local pin meeting visit: www.PinMeeting.co.uk and use voucher code PODCAST to attend you first meeting as Simon's guest (instead of paying the normal £20).
Register at Mindset For Property at - www.mindsetforproperty.co.uk
ABOUT THE HOST
Simon Zutshi, experienced investor, successful entrepreneur and best-selling author, is widely recognised as one of the top wealth creation strategists in the UK. Having started to invest in property in 1995 and went on to become financially independent by the age of 32.
Passionate about sharing his experience, Simon founded the property investor’s network (pin) in 2003 www.pinmeeting.co.uk. pin has since grown to become the largest property networking organisation in the UK, with monthly meetings in 50 cities, designed specifically to provide a supportive, educational and inspirational environment for people like you to network with and learn from other successful investors.
Since 2003, Simon has taught thousands of entrepreneurs and business owners how to successfully invest in a tax-efficient way. How to create additional streams of income, give them more time to do the things they want to do and build their long-term wealth.
Simon’s book “Property Magic” which is now in its sixth edition, became an instant hit when first released in 2008 and remains an Amazon No 1 best-selling property book.
Simon launched his latest business, www.CrowdProperty.com, in 2014, which is an FCA Regulated peer to peer lending platform to facilitate loans between private individuals and property professionals.