Since I have been given the GREEN light from the big bank I have been busy placing cheeky offers everywhere. I have been bidding up to 40% discount to market value on deals with the faint hope of getting them accepted.
I will let you know I have had the following deals accepted:
- 30% BMV 1 bed flat – 16% yield
- 28% BMV 2 bed flat – 13% yield
I have also placed 5 more offers on deals and I reckon I will get another 2. I think my buying rate will get to 1 a DAY!
And do you know what? I have found these deals myself. I did not instruct my team to do it as I want to hit the agents head on. I want to get a feel for the market to see if I can really get heavily discounted deals from estate agents that also yield well in excess of 12%.
I think I have answered my question and the answer is YES! Now before you think you can pile in unfortunately the stuff I am buying is all priced under £30,000. They are the real bottom end of property investing and only suitable for the hard edged investor.
Now I would not be able to buy these properties if I had not:
- bought at the middle end of the market and built up a credit history with the banks
- gained experience in letting through running my own portfolio
- asked and asked and asked for finance even though everyone was telling me I could not get finance
Now I did not really know I would go down this path however I did so here I am. I am looking to build a property portfolio of 1,000 properties worth £50m within 18 months. This will be an exciting time for me and my team (who are yet to know my plans!) as this period is very special for two reasons:
- Prices are cheap in CERTAIN parts of the country (which happen to be where I invest!)
- Finance is available if you know where to go. The credit crunch seems to be melting as the big banks want to lend to CERTAIN people.
So if you have ever looked back in the past and thought
“Why did I not see that opportunity as I could have made a whole load of money and live a completely different life”
then don’t let this moment pass you by. I was one of those people who did do something during the biggest housing boom in the late 90s and early 2000s. I look back and wish I did even more!
Now I am going to do something even bigger during the biggest property slump we could ever see in the 21st century to see me right by the time I am aged 41 (which is 30 months away).
So can I ask you:
What are you going to do?
If you need a nudge then talk to me.
Posted on: 23rd Aug 2010
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